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This study examines the possible impact of cross‐country differences in culture on earnings management or choices of accounting accruals in five Asia‐Pacific countries: Australia, Japan, Hong Kong, Malaysia and Singapore. A set of traditional and cultural variables were used to test the hypotheses developed in the paper. The results indicate that both the traditional variables (size and debt‐equity ratio) and cultural variables (individualism, power distance, uncertainty avoidance and long‐term social values) can explain the choices of accounting accruals in different countries. This paper is the first that links earnings management to cultural values and indirectly provides evidence that accounting values (as defined by Gray, 1998) affect earnings management.

This chapter attempts to investigate and analyze the worldwide long-run dynamics among foreign direct investment (FDI) inflow, international trade, and economic growth empirically in the era of globalization. Impact of FDI on economic performances has been a burning topic during the current age. Different theoretical studies viewed both positive and negative impacts of inflow of foreign capital in terms of FDI. We empirically test the relationships among FDI and trade, gross domestic product by using the data for top 20 FDI-hosting countries sourced from UNCTAD in a dynamic panel frame over the period of 1991–2016. The stochastic properties are looked into by carrying out panel data unit root tests developed by Levin, Lin, and Chu (2002) and Im, Pesaran, and Shin (2003). We carry out the generalized method of moments estimates. Empirical findings suggest that inflows of FDI significantly promote economic growth in selected economies.

This paper uses a simple analytic model to analyze the problem of tax evasion by a monopolist subject to price ceiling regulation. Prior research had explored tax evasion decisions of a monopolist in a non-regulatory environment. However, since monopolies often operate in a regulatory environment, it is important to examine how a regulated monopolist makes its tax reporting decisions. This paper shows that under certain conditions, an increase in the effective price ceiling increases tax evasion. The production decision of the monopolist however is unaffected by tax evasion parameters. A social planner, attempting to maximize social welfare, subject to a revenue constraint, can achieve optimality in a number of ways; with or without full compliance.

During the last few decades, there have been significant divergences in the flows of foreign direct investment (FDI) as per decisions taken by multinational companies (MNCs), and many of the developing nations in the Asia and Pacific region are most remarkable in this regard (UNCTAD, 2015). Apart from various economic factors, some sociopolitical issues have also been identified as influencing the FDI decisions. This study investigates the comovements of the standard measures of terrorist activities and MNCs’ decision on FDI in selected developing countries in the Asia and Pacific region by employing Generalized Method of Moment (GMM) estimation technique on constructing a balanced panel for 1990–2016. Results summarize that FDI inflows are negatively influenced by terrorist activities in the developing economies of the Asia and Pacific region.

The US–China conflicts surrounding the imposition of tariffs have caused a stir in the global markets. Various attempts have been made to understand the rationale and causes as well as its impact on the various ­aspects of the international market. There are many unanswered questions pertaining to China’s emergence as a global superpower and the ­possible threats that it poses to the Western dominated market. Based on this background, the chapter is an attempt to investigate the impacts of the Economic Policy Uncertainty (EPU) of the United States and China on three most important global markets, namely, crude oil, credit market, and commodity ­market. To attain the objectives of the chapter, the study has utilized Vector Auto Regressive model and has analyzed the results. The study concludes that China’s EPU has lesser impact on the global market as compared to the US EPU. On the basis of the results obtained, few policy implications have been proposed.

The paper investigates the link between a firm's overall disclosure quality and its corpoate reputation. The results show that the measure of corporate reputation is positively related to the disclosure measure, after controlling for market and accounting signals indicating the size of assets, market assessment of the value of the assets in place and rate of return on assets.