CORPORATE GOVERNANCE AND INFORMATION TRANSPARENCY: A SIMULTANEOUS EQUATIONS APPROACH
Journal Title: Asian Economic and Financial Review - Year 2017, Vol 7, Issue 6
Abstract
The purpose of this paper is to review the relationship between corporate governance mechanisms and information transparency. In this paper, we aim to answer the important questions of whether corporate governance affects financial information transparency, if so, whether transparency reporting can affects corporate governance mechanisms and the interaction of internal and external governance mechanisms. This study uses a sample of 28 non-financial listed Tunisian companies and covers an eight-year period from 2006 to 2013. To test the hypotheses of this research, a simultaneous equation system model was applied. The results obtained shows that, for the Tunisians companies, financial transparency have a significant effect on board size and on audit quality. The current study also provides evidence that corporate governance mechanisms are interdependent. The findings may be of interest to those academic researchers, practitioners and regulators who are interested in discovering corporate governance practices in Tunisian context. This paper extends the existing literature, in the Tunisian context in particular, by examining the causal relationship between corporate governance and information transparency.
Authors and Affiliations
Maali KACHOURI*| Faculty of Economic Sciences and Management of Sfax, University of Sfax, Sfax, Tunisia, Anis JARBOUI| Professor of Finance and Accounting, University of Sfax, Tunisia
Keywords
Related Articles
- EP ID EP2390
- DOI -
- Views 678
- Downloads 87
IMAGINING ALTERNATIVE MODERNITY: NEGOTIATING ISLAMIC-NESS AND MALAY-NESS ON POPULAR TV FICTION
Malay cultural identity in Malaysia has historically been wrought by the contradictions inherent in its colonial discourses, and among the Malays themselves -a transition that was made possible by virtue of religion, lan...
Modelling Non-Interest Income at Tunisian Banks
The aim of this paper is to analyze the determinants of the non-interest income for the Tunisian context by the use of data of 10 Tunisian deposit banks. Our sample is observed during the period 1998-2009. Using panel da...
CANONICAL COALITION GAME THEORY FOR OPTIMAL PORTFOLIO SELECTION
Special mathematical techniques have been developed in order to analyze conflict-competition situations. Game theory provides a formal analytical framework with a set of mathematical tools to study the complex intersecti...
INVESTIGATING THE CAUSAL RELATIONSHIP BETWEEN STOCK MARKET AND AGGREGATE ECONOMIC PERFORMANCE OF SOUTH AFRICA
Stock is one of the key securities traded in the capital markets and as such, has attracted the attention of researchers. While it is said to propel economic activities, empirical studies conducted on different countries...
MARKET REACTION TO DIVIDEND INITIATION ANNOUNCEMENTS ON THE GHANA STOCK EXCHANGE: THE CASE OF INDUSTRIAL ANALYSIS
This study examines the market?s reaction to dividend initiation announcements. In particular, it considered the magnitude of abnormal returns during the days that surround announcements of dividend initiation. This stud...