Impact of social capital on tone ambiguity in banks' 10-K filings

Autor:	Zejiang Zhou, Kiridaran Kanagaretnam, Guifeng Shi, Amin Mawani
Rok vydání:	2020
Předmět:	Ambiguity 050208 finance Index (economics) media_common.quotation_subject 05 social sciences Contrast (statistics) Monetary economics 10-K reports Tone (literature) Banking Social capital Full Length Article 0502 economics and business Economics 050207 economics Finance media_common
Zdroj:	Journal of Behavioral and Experimental Finance
ISSN:	2214-6350
Popis:	We examine whether the social capital index of the county where the bank is headquartered is associated with the ambiguity of tone measures constructed from the textual analysis of banks’ 10-K filings. We hypothesize and find that banks located in high social capital areas exhibit lower ambiguous tone in their 10-K filings. Furthermore, the impact of social capital on management’s 10-K disclosure for banks located in high social capital areas is not mitigated during recessionary periods when management may have more unfavorable news to report. Unlike other studies that suggest that social norms can be forsaken when motive and opportunity exist, our results suggest that social capital is reasonably entrenched in banks’ reporting. In contrast, we find that banks located in low social capital areas report more ambiguously during recessionary periods when management may have to report unfavorable news.
Databáze:	OpenAIRE
Externí odkaz:	https://explore.openaire.eu/search/publication?articleId=doi_dedup___::311d3bd949baec4b9e400d9a949de224 https://pubmed.ncbi.nlm.nih.gov/33083236 Zobrazit plný text záznamu Full Text from ScienceDirect