IDEAS home Printed from https://ideas.repec.org/p/hal/journl/hal-05364260.html
   My bibliography  Save this paper

The Effect Of Income Smoothing In Price Bubble Formation Of Companies In Tehran Stock Exchange

Author

Listed:
  • Garizi Akbar Zare

    (Department of Accounting, International Branch of Shiraz University, Shiraz, Iran.)

  • Asadollah Homayoun

    (Department of Accounting, Marvdasht Branch, Islamic Azad University, Marvdasht, Iran.)

  • Ebrahim Meidanshahi

    (Department of Accounting, Marvdasht Branch, Islamic Azad University, Marvdasht, Iran.)

  • Bahman Bahmanifirouzi

    (Young Researchers and Elite Club, Marvdasht Branch, Islamic Azad University, Marvdasht, Iran.)

Abstract

The main objective of this paper is to examine the effect of income smoothing in price bubble formation of companies in Tehran Stock Exchange (TSE). Along with this objective, all the companies accepted in Tehran Stock Exchange which had been presented required financial statements and financial information in 2000-2009 were examined. Totally 72 companies from various industries were selected. At first, income smoothing phenomenon was examined in a 10-year period, using Eckel model. Then by using Johansen & Joselius method, bubble test was done. In order to study the relation of income smoothing and price bubble, chi-square test was used. The results show that income smoothing and price bubble are two independent issues and there is not a significant relation between income smoothing and price bubble. So, income smoothing cannot be considered as an effective factor in price bubble formation.

Suggested Citation

  • Garizi Akbar Zare & Asadollah Homayoun & Ebrahim Meidanshahi & Bahman Bahmanifirouzi, 2015. "The Effect Of Income Smoothing In Price Bubble Formation Of Companies In Tehran Stock Exchange," Post-Print hal-05364260, HAL.
    • Handle: RePEc:hal:journl:hal-05364260
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a
    for a similarly titled item that would be available.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:hal:journl:hal-05364260. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: CCSD (email available below). General contact details of provider: https://hal.archives-ouvertes.fr/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.