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The Nature of the Interaction between Mandatory and Voluntary Disclosures

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  • ETI EINHORN

Abstract

This paper demonstrates the crucial role that firms' mandatory disclosures play in determining their voluntary disclosure strategies. It also shows how a firm's propensity for providing voluntary disclosures relates to various features of the mandatory disclosure environment and disclosure regulation. The special case of choosing between aggregated and disaggregated disclosures serves as an illustration of the model's applicability.

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  • Eti Einhorn, 2005. "The Nature of the Interaction between Mandatory and Voluntary Disclosures," Journal of Accounting Research, Wiley Blackwell, vol. 43(4), pages 593-621, September.
    • Handle: RePEc:bla:joares:v:43:y:2005:i:4:p:593-621
    DOI: 10.1111/j.1475-679X.2005.00183.x
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    1. Darrough, Masako N. & Stoughton, Neal M., 1990. "Financial disclosure policy in an entry game," Journal of Accounting and Economics, Elsevier, vol. 12(1-3), pages 219-243, January.
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    6. Verrecchia, Robert E., 1983. "Discretionary disclosure," Journal of Accounting and Economics, Elsevier, vol. 5(1), pages 179-194, April.
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    8. Verrecchia, Robert E., 1990. "Information quality and discretionary disclosure," Journal of Accounting and Economics, Elsevier, vol. 12(4), pages 365-380, March.
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