Abstract
This study explores the relationship between board diversity and financial reporting quality (FRQ) in China, an emerging market, by using panel data techniques. Specifically, it investigates firms registered from 2005 to 2018. Board diversity is categorised into relation (i.e., gender and age), task (i.e., education, tenure, and experience), and overall board diversity (sum of relation and task diversities). Findings indicate that board diversity has a significant positive impact on FRQ. The relationship between board diversity and FRQ is also strong in non-state-owned firms and during noncrisis periods. Findings remain consistent after numerous robustness checks comprising instrumental approach, propensity score matching, generalised method of moment, lag of independent variables, Heckman two-step model, change analysis, and alternative FRQ measures. Overall, board diversity is found to be associated with corporate outcomes.
Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
