Corporate Governance and Economic Value Alignment
Gerald Lander and
Alan Reinstein
International Advances in Economic Research, 2005, vol. 11, issue 4, 433-447
Abstract:
As a result of recent problems with corporate reporting and management, renewed interest in Corporate Governance has arisen. We analyze economic value alignment as a form of Corporate Governance, a concept similar to but more encompassing than economic value added and value-based management. We look at some specific ways that various companies and industries have applied economic value added analysis. The results show that the companies that use economic value alignment increase their value significantly over those that do not. The results show that discriminating investors and management should demand that their associated companies use EVA to improve overall financial reporting and to better manage assets. In turn, the SEC and Accounting Standard Setting Bodies should consider the long-term benefits of requiring certain sized companies to report relevant EVA data to key stakeholders. Copyright International Atlantic Economic Society 2005
Keywords: F49 (search for similar items in EconPapers)
Date: 2005
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Citations: View citations in EconPapers (2)
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Persistent link: https://EconPapers.repec.org/RePEc:kap:iaecre:v:11:y:2005:i:4:p:433-447:10.1007/s11294-005-2287-3
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DOI: 10.1007/s11294-005-2287-3
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