Disclosure and Determinants Studies: An Extension Using the Divisive Clustering Method (DIV)
Language
en
Article de revue
This item was published in
European Accounting Review. 2006, vol. 15, n° 2, p. 181-218
Taylor & Francis (Routledge): SSH Titles
English Abstract
Past accounting research contains an extensive range of disclosure and determinants studies. But these studies have one major methodological drawback: the disclosure analysis is often restricted to determination of the ...Read more >
Past accounting research contains an extensive range of disclosure and determinants studies. But these studies have one major methodological drawback: the disclosure analysis is often restricted to determination of the disclosure index, that is, the sum of disclosed items, weighted or unweighted. The disclosure profile (which reflects the structure of published information) is generally not part of the research design. The objective of this paper is to introduce a divisive (descendant) clustering method, which splits the sample into homogeneous sub-groups corresponding to disclosure patterns (or profiles), for clearer determination of the financial characteristics of each group. This methodology is illustrated by a study of disclosure on provisions by large French firms. The results show that the disclosure pattern is related to provision intensity, size, leverage and market expectation, but not to profit, return and industry. This new research method is a valuable complementary tool for expanding on disclosure and determinants studies, moving from disclosure levels to disclosure patterns.Read less <
English Keywords
accounting
Extension Using the Divisive Clustering Method
DIV
Divisive Clustering Method
Origin
Hal imported