Market-Based research in International Accounting, Part I: Foundations & Basic Concepts

• cost of capital calculation
• oral presentation
• presence and active participation during the seminar

Market-based research in international accounting uses cross-border comparisons and withincountry analyses exploiting the unique features of the local institutional environment to study how public and private institutions affect the properties and uses of accounting information. More recent studies go beyond descriptive analyses and attempt to better understand how economic institutions affect the role of accounting information in capital markets, financing decisions, and corporate governance.

The course consists of two parts: in Part I, we cover the foundations and discuss some of the basic concepts of international accounting research. Specifically, the topics of Part I cover voluntary disclosure, the relation between disclosure and cost of capital, real effects of financial reporting, and CSR reporting. In Part II, we apply these concepts to specific areas (e.g., IFRS adoption, regulation and enforcement). Note that it is suggested but not required that students attend both parts of the course in sequence.