CEOs' early-life disaster experience and corporate earnings quality: Focusing on the Great Chinese Famine

Frontiers in Psychology

article

Yang Zhao¹  Jun Hu²  Lang Liu³ 

[1] School of Management, Jinan University;Management School, Hainan University;Development and Planning Department, Jinan University

关键词: The Great Chinese Famine;    Risk prevention;    Learning effect;    earnings quality;    early-life disaster experience;   

DOI  :  10.3389/fpsyg.2022.1041630

学科分类：社会科学、人文和艺术（综合）

来源: Frontiers

【 摘 要 】

This paper aims to examine the impact of CEOs’ early-life disaster experiences on corporate earnings quality. We proxy the disaster experience with whether CEOs lived through the Great Chinese Famine and the famine intensity they experienced. The results indicate that CEOs’ early-life famine experience is significantly positively associated with corporate earnings quality, and the famine effects are more obvious for CEOs who experienced the famine in adolescence ages. Further tests show that the famine experience effects are more pronounced in companies with high investor protection and cross-listing and with CEOs who have a relatively high level of education or background in economic management. The findings suggest CEOs would bear the imprint of an adverse early life experience, which has risk-aversion and learning effects on their decision-making in corporate earnings information disclosure.

【 授权许可】

CC BY