Information disclosure quality: correlation versus precision

We investigate how a multidimensional disclosure quality (i.e., correlation and precision) determines an optimal information disclosure strategy. We find that, for an infinitely lived, unlevered firm with market perfection, a truth-telling disclosure is optimal at increasing the expected firm value....

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Bibliographic Details
Main Authors: Hu, Wei, Cheung, Adrian
Format: Journal Article
Published: Wiley-Blackwell Publishing Asia 2017
Online Access:http://hdl.handle.net/20.500.11937/54701