Behaviour and Rationality in Corporate GovernanceCorporate scandals due to bad accounting happen far too frequently for a system of corporate governance to be deemed effective. This book tells why the safeguards designed to prevent bad accounting so often fail. By studying why the auditors and members of a board of directors regularly fail to deliver the truth about a company’s financial state of affairs, this provocative book explores a serious problem in the system of reporting financial information. |
Contents
1 Introduction | iv |
2 Overview of corporate governance | 13 |
3 Earnings management | 35 |
4 Rationality or rational behaviour? | 60 |
5 Behaviour and rationality in corporate governance | 96 |
6 Independence of auditors and directors | 129 |
7 Recent corporate governance failures | 157 |
8 Implications for governance policy | 179 |
9 Conclusions | 206 |
Notes | 215 |
Bibliography | 252 |
293 | |
300 | |