Information Disclosure Research Articles

Investigating Consumers’ Purchase Resistance Behavior to AI-Based Content Recommendations on Short-Video Platforms: A Study of Greedy And Biased Recommendations

With the proliferation of personalized recommendation systems (PRS) such as Facebook, Amazon, and TikTok, the academic community has increasingly focused on AI-based recommendation systems. However, there remains a dearth of research that elucidates the adverse effects of AI-based recommendation algorithms and the underlying mechanisms through which these effects influence psychological and behavioral responses, particularly in terms of purchasing behavior. Drawing upon the Stressor-Strain-Outcome (SSO) model, this study aims to scrutinize the purported features of “greediness” and “bias” inherent in such algorithms, thereby investigating their impact on users’ negative psychological and behavioral responses. This investigation collected 473 online responses and used the partial least squares structural equation model (PLS-SEM) to empirically analyze the research model. The findings suggest that greedy and biased recommendation algorithms engender information narrowing, redundancy, overload, technological intrusiveness, and concerns about information disclosure. These stressors are associated with negative psychological and behavioral responses among users, which ultimately influence purchasing resistance behaviors on short video platforms. Consequently, the findings of this study contribute to a deeper understanding of the adverse implications of AI recommendation algorithms and provide valuable information for companies that offer short-form video applications.

How regulatory media information disclosure affects auditor selection–Empirical evidence based on the interaction platform between investors and listed companies

This study uses a econometric model to assess how online interactions between investors and listed companies influence auditor selection. It observes auditor choice as a metric to gauge management's response to market reactions from information disclosed on investor-company platforms. Findings reveal that more effective online interactions lead to the selection of higher quality auditors, especially in companies with greater marketization and higher institutional investor shareholding ratios.

The non-intervention principle and disclosure of information to beneficiaries: recent Jersey cases

Abstract Recent Jersey cases affirm the importance of the non-intervention principle, namely, that the court will not interfere before the trustees have acted to compel a particular exercise of power and that after they have acted it will not overturn their exercise of the power. A question not definitively settled is whether a trustee’s decision concerning the disclosure of trust information to a beneficiary constitutes an exception or whether the court’s role remains a more limited review. Two recent Jersey cases favour the former approach, and this jurisprudence is likely to be influential across other trust jurisdictions where the position has likewise not been decided.

The Relationship Between Citizen Perceptions on Government Transparency and Economic Development: A Case of Thika Town Sub-County, in Kiambu County, Kenya

This study examined the relationship between citizens' perception of government transparency and economic development in Thika Town Sub-County, Kiambu County, Kenya. The data collected on the first objective are explained in this section. Financial constraints were found to hinder citizens' ability and willingness to access resource allocation information, limiting their capacity to travel to county offices, access the internet, or purchase materials containing the relevant information. Despite this, respondents agreed to a great extent that the county government is transparent about how funds are spent in different sectors (mean = 3.7597, std. deviation = 0.69095), that the process for county resource allocation is clearly communicated to citizens (mean = 3.5581, std. deviation = 0.83128), and that information about how resources are allocated is easily accessible to the public (mean = 3.5116, std. deviation = 0.91101). The study’s third objective was to assess whether openness and transparency of the county's contracting and procurement practices influence economic development in Thika Town Sub-County in Kiambu County, Kenya. The findings were as follows. Concerning openness and transparency of county contracting and procurement practices, 63% of respondents indicated that information about county contracts and procurements is private, while 22% said it is available, and 15% were unsure. The majority of respondents (61%) indicated that the county's contracting and procurement processes are somewhat transparent, while 24% said they are very transparent, and 15% said they are not transparent at all. Even when information on county contracts and procurements is available, it may not be easily accessible due to bureaucratic hurdles, outdated or incomplete online resources, and the need for personal visits to county offices. Despite these challenges, respondents greatly agreed that the procurement and tendering process is open and transparent (mean = 3.7907, std. deviation = 0.78735), that increased transparency in contracting/procurement has benefited local businesses (mean = 3.7054, std. deviation = 0.80314), and that award criteria and selection methods are clearly defined and available (mean = 3.6419, std. deviation = 0.93763). The study concludes that while efforts exist to promote transparency in resource allocation, there are still gaps in the adequacy and accessibility of information. Financial constraints can be a barrier to citizens' engagement with government processes and access to information, potentially hindering their ability to hold the government accountable and contribute to economic development. The study concludes that addressing financial barriers and improving the accessibility and comprehensibility of resource allocation information could enhance citizens' participation and, consequently, economic development. The findings provide valuable insights for policymakers, civil society organizations, and citizens in Thika Town Sub-County and beyond, highlighting the need for a comprehensive and balanced approach to transparency reforms that prioritizes both information disclosure and citizen empowerment. The study concludes that by addressing the identified challenges and strengthening transparency and participation mechanisms, local governments can create a more conducive environment for sustainable economic growth and improve the lives of their citizens.

Performance pressure and annual report text manipulation: Evidence from China

AbstractBuilding on attribution theory, this study investigates the antecedents of corporate annual report text manipulation from the perspective of managerial performance pressure. Using a data set comprising 15,076 samples from companies listed on China's Shanghai and Shenzhen A‐share markets between 2009 and 2021, we reveal that as management faces performance pressure, they tend to increase content about external environmental risk and policy uncertainty in annual reports due to actor–observer bias. When incorporating Confucian cultural factors into the research framework, the study found that the strength of Confucian culture mitigates the correlation between the pressure of management performance and annual report manipulation. However, the level of marketization where a corporation is located can undermine the ethical norms upheld by Confucian culture. In additional analysis, we also discovered that the longer the duration of performance pressure, the greater the extent of manipulation within the annual reports initiated by the management. Interestingly, the social performance pressure generated from ESG performance also positively influences annual report textual manipulation, compared to operational performance pressure. This study explores the impact of management performance pressure on information disclosure decisions from the perspective of performance attribution, not only extending the boundaries of attribution theory but also providing guidance for policymakers to enhance the supervision of annual report disclosures and for capital market investors to optimize investment decisions.

Open government and US development co‐operation in Colombia: Lessons for locally led development

AbstractMotivation“Localization”—direct donor support for national organizations in aid recipient countries—has become a top priority for international development. The United States Agency for International Development (USAID) pledged to raise the proportion of direct funding to national organizations to 25% and for 50% of funding to involve “locally led” input. Independently, USAID commits to proactive disclosure of project information. This study analyses sectoral priorities, access to project data, and localization trends to inform policy discussion about how USAID can reach its twin localization goals, with a focus on Colombia, the largest US aid recipient in Latin America.PurposeAn open government perspective can shed light on whether and how development agencies are making progress towards localization. Moreover, user‐centred information disclosure by donors is necessary to inform locally led development. The goals of this study are to document USAID's sectoral funding priorities, gaps in data disclosure, implementation actions, and direct local funding percentages to make patterns more visible to stakeholders. We ask: What are the strengths and limitations of public disclosure of data concerning US aid in Colombia?Approach and methodsThis analysis uses open‐source data review methods to bring together different sources of publicly available data. These methods include triangulating government data disbursed across multiple sites, recoding government data to make trends visible, and identifying barriers to data access.FindingsPublic data indicate that US funding for peace‐related projects increased in the years following Colombia's 2016 Peace Accord, though the security share of total US aid remains high. Funding trends demonstrate that USAID is far behind its localization goals in Colombia, though absolute funding totals to local organizations are increasing. Finally, publicly available project data are not user‐centred, require technical acumen to access, and are fragmented across multiple sites.Policy implicationsUser‐centred disclosures are key to locally led development to ensure informed participation and accountability to stakeholders.

The registration-based IPO reform and the cost of equity capital: evidence from China

This paper investigates the impact of the registration-based IPO reform on firms’ cost of equity capital using samples of Chinese A-share listed firms. The results indicate that registration-based IPO reform significantly reduces the cost of equity capital. This effect is mainly observed in firms with higher-reputation underwriters, higher intensity of review inquiries, or higher institutional ownership. In addition, the mechanisms driving these reductions are enhanced information disclosure and improved IPO pricing efficiency.

Firms’ voluntary climate action disclosures and stock market reaction: A BERT-based analysis of earnings conference calls in China

Climate information disclosure plays a pivotal role in fostering sustainable practices and enhancing transparency in climate risk. However, it is unclear whether firms’ voluntary climate-related disclosures effectively convey incremental information to investors. In the empirical context of Chinese listed firms, we explore the valuation effect of firms’ voluntary climate action disclosures, which is quantified from the transcripts of earning conference calls using a novel natural language model, BERT. Our results reveal that firms with more voluntary climate action disclosures experience more positive stock market reactions, indicating that investors value transparency on corporate commitment to future climate actions. The positive valuation effect of disclosures tends to be more pronounced in firms with higher disclosure quality, more green-preference investors, and higher investor attention. Moreover, we find that the positive valuation effect is achieved through enhancing corporate reputation and investor confidence. We further show that firms’ voluntary climate action disclosures exhibit a significant positive correlation with green innovations and environmental pillar scores, dispelling concerns of mere “greenwashing”. Overall, our evidence contributes to understanding the role of climate disclosures in investor assessment of firms’ climate risks and opportunities. The findings provides fresh insights for policymakers and regulatory bodies involved in shaping disclosure frameworks that promote sustainable business practices.

Unveiling the black box of green accounting information disclosure: an analysis of disclosure diversity and difficulties from a developing economy perspective

Unveiling the black box of green accounting information disclosure: an analysis of disclosure diversity and difficulties from a developing economy perspective

Is green place-based policy effective in mitigating pollution? Firm-level evidence from China

The green place-based policy is crucial for balancing economic competitiveness and environmental protection. However, there is scarce literature examining its impact on environmental pollution and the underlying mechanisms at the micro level. This paper treats China's National Demonstration Eco-Industrial Parks (EIP) as a quasi-natural experiment and systematically evaluates its effect on pollution using a difference-in-differences (DID) approach. With data from Chinese industrial firms and counties, this research reveals that the EIP leads to a significant reduction of 54.36% in firms’ sulfur dioxide (SO2) emissions. Moreover, increasing R&D investment, reducing SO2 emission intensity, implementing production process pollution control, and dynamic adjustments of firm entry and exit are significant influencing mechanisms. Heterogeneity tests indicate a stronger SO2 reduction effect of the EIP program on firms in eastern regions, capital-intensive industries, and non-state-owned enterprises. This study suggests that the Chinese government should support the establishment of EIP, conduct a coordinate system, strategically plan the industrial chain, establish a pollution monitoring and early warning system, enhance information disclosure, and give greater emphasis to the construction of EIPs in central and western China.

P-339 Identifying essential information for a valid informed consent (IC) of egg donors: An international Delphi study

Abstract Study question What information does an international group of professionals and egg donors consider relevant and morally necessary for prospective egg donors to provide valid IC? Summary answer In the first round, participants considered 56% of the information items relevant (e.g. all legal aspects) and 50% of the items as morally necessary information. What is known already Disclosure of relevant and adequate information is essential for IC in medical procedures like egg donation (ED). However, studies reveal inadequate risk awareness among donors. This raises questions about the adequacy of the provided information. The “Egg Donor Informed Consent Tool” aims to assess donors’ understanding of the ED process and its risks. However, Skillner et al. developed the tool exclusively with American endocrinologists and donors and do not touch upon all legal aspects or alternative hormone stimulation. No international study to date has determined what information professionals and egg donors consider relevant and morally necessary for prospective donors. Study design, size, duration This modified Delphi study used a survey in an iterative process of three rounds to reach a consensus on what information items are relevant and morally necessary for a valid informed consent of candidate egg donors. Invitations to participate were sent out in November 2023 and the first round lasted six weeks. Reminders and additional invitations were sent out every two weeks. Currently (January 2024), we are preparing the second round with 35 professional participants Participants/materials, setting, methods The 35 participants were experts in ED across diverse fields (social and medical sciences, bioethics, psychology, fertility medicine and law) from 14 countries. The egg donor part of round one is ongoing. The survey consisted of 13 categories and 118 information items, which participants score for relevance via a 4-point Likert scale and moral necessity on a dichotomous scale (yes/no). Content Validity Index (CVI) will be calculated for measuring relevance. A comment section was available. Main results and the role of chance Research shows that high content validity (“consensus”) is reached when there is an I-CVI (CVI per item) of .78 or higher. The same cut-off was selected to reach consensus for Moral Necessity. The following results are based on the first round, results from all three rounds will be presented at the congress. For 58 out of 131 information items, the I-CVI was lower than 0.78. The percentage of moral necessity was below 0.78 for 65 items. The relevancy for the total survey (S-CVI/Ave) for the first round was 0.80. Four information items reached a CVI of 1: all experts thought it was relevant for a candidate donor to know that 1) the need to undergo ovarian stimulation and 2) a pick-up procedure, as well as 3) her legal rights over the donated eggs after the pick-up procedure and 4) her legal right to withdraw consent. The latter is the only information item that scored a 100% of Moral Necessity. All 16 information items in the categories “issues concerning multiple donations”, “legal aspects” and “financial aspects” reached a consensus in relevance, but two of these items’ did not reach the cut-off of 0.78 for moral necessity. Limitations, reasons for caution There was a relatively low response rate of 24 percent, which can be attributed to the demographics of our population. These professionals typically have limited availability for participation and for some professionals the email addresses we found were outdated. Wider implications of the findings The final results can give professionals a standard of essential information to provide to make sure the women are adequately informed and know what to expect when they decide to donate. It also gives researchers a potential standard to evaluate the quality of the informed consent in fertility clinics. Trial registration number Not applicable

Shaming, stringency, and shirking: Evidence from food‐safety inspections

AbstractThis paper examines the responses of chicken producers to public disclosure of quality information (or categorization) regarding Salmonella in chicken carcasses. Producers exert effort to attain better categorization and shirk when failing to meet the thresholds required for better categorization. Public disclosure reduces this shirking effect. However, some producers shirk even under public disclosure when the threshold for disclosure is too stringent. The results suggest that the most effective quality disclosure policies would either disclose continuous (noncategorical) information or impose fines or other sanctions on producers attaining the poorest quality.

Stakeholder pressure and SMEs sustainability information disclosures: why perceived benefits and sustainability knowledge matter

Purpose Sustainability research has become important than ever, due to the visible effects of business operations on the environment, and the increasing green consciousness among the various stakeholder groups. These stakeholder groups mount pressure on organizations, to inculcate sustainable practices in their operations. In light of the stakeholder-resource-based view, this paper aims to examine the direct effect of stakeholder pressure on sustainability information disclosures. The mediation effect of perceived benefits in the nexus amidst stakeholder pressure and sustainability information disclosures was also assessed. Lastly, the paper assessed the moderation effect of sustainability knowledge in the nexus between perceived benefits and sustainability information disclosures. Design/methodology/approach This research is quantitative in nature. Structured questionnaire was deployed as the data collection tool. Small and Medium Enterprises in Ghana formed the population. Data set from 258 Ghanaian small and medium enterprises was analyzed by the use of structural equation modeling. Findings Contrary to expectation, the study revealed that the effect of stakeholder pressure on sustainability information disclosures is positive, but statistically insignificant. The nexus between stakeholder pressure and sustainability information disclosures was revealed to be fully mediated by perceived benefits. Lastly, sustainability knowledge was revealed to positively moderate the relationship amidst perceived benefits and sustainability information disclosures. Originality/value This paper contributes to sustainability literature by demonstrating how stakeholder pressure influences sustainability information disclosures in the context of small and medium enterprises in an emerging economy.

Corporate Social Responsibility, Carbon Information Disclosure, and Enterprise Value: A Study of Listed Companies in China’s Highly Polluting Industries

In 2022, China actively carried out economic transformation and sought high-quality development. To date, enhancing enterprise value is still one of the top priorities for enterprises. Enterprises should take various measures to continuously enhance their value in order to strive for their survival and development. The fulfillment of social responsibilities not only brings benefits to all stakeholders, but also establishes a good corporate image in front of the public and can increase enterprise value. At the same time, in the context of “carbon peaking and carbon neutrality”, carbon information disclosure has an important impact on enterprises and their stakeholders. Taking the data of listed companies within China’s Shanghai and Shenzhen A-share highly polluting industries from 2018 to 2022 as samples, this paper studies the relationship between the level of social responsibility fulfillment, carbon information disclosure, and enterprise value, and makes an empirical analysis. This research finds that social responsibility has a significant positive impact on enterprise value; carbon information disclosure has a significant positive impact on enterprise value; and carbon information disclosure plays a significant positive regulating role in the relationship between social responsibility and enterprise value. Finally, according to the research results, this paper puts forward relevant suggestions from two perspectives: enterprise and government.

Patient preferences for generic substitution policies: a discrete choice experiment in China.

Background: Generic substitution policies have been widely implemented worldwide to enhance the accessibility of medications. Nevertheless, certain patients have voiced discontent with these policies. This study aimed to evaluate the patient preferences for generic substitution policies and explore the potential for optimization to enhance patient acceptance. Methods: A discrete choice experiment (DCE) was conducted to estimate the relative importance (RI) of five attributes, including generic consistency evaluation (GCE), reimbursement rate, medication use control, information disclosure, and post-marketing surveillance. Respondents were recruited among inpatients and outpatients in three cities and surveys were conducted face-to-face. Preference coefficients, RI of attributes, and the uptake rate of various policies were computed using a mixed logit model. The interaction effects were also included to examine preference heterogeneity. Results: A total of 302 patients completed the survey. All five attributes significantly impacted policy acceptance. GCE held the highest RI value at 56.64%, followed by reimbursement rate (RI = 12.62%), information disclosure (RI = 12.41%), post-marketing surveillance (RI = 9.54%), and medication use control (RI = 8.80%). Patient preferences varied depending on their gender and income. The patient uptake rate of China's current policy was only 68.56%. If all generics were to pass GCE without altering the other attributes, the uptake rate of policies would rise to 82.63%. Similarly, implementing information disclosure without changing other attributes would result in a 78.67% uptake rate, which is comparable to the effect of a 10% increase in reimbursement rate for generics (78.81%). Combining these policies could mitigate the adverse effects of mandatory substitution on patient. Conclusion: Chinese patient preferences for generic substitution policies were mainly influenced by GCE. China's current generic substitution policy has room for further optimization to enhance patient acceptance.

A reflective analysis of China's energy policy from the perspective of systemic energy justice principles

The idea of energy justice has been reflected and implemented in China’s energy policy system over years. However, the existing normative basis of energy justice remains imperfect. China’s special political system and Confucian concept of justice, and its particular focus on energy security, have made its energy transition practices highly efficient but also prone to violating recognition, distributional and procedural justice, resulting in a victim structure that sacrifices the few for the well-being of the many. It is essential to introduce energy justice to achieve sustainable development of China’s energy system and policy transformation in the new era, as energy justice will provide insights for policy stakeholders regarding how to address complex and interrelated energy production and acquisition issues. In doing so, the first step is to comprehensively examine the existing energy injustice in China’s energy life cycle and then apply systemic energy justice to optimise China’s future energy policies. Specifically, policymakers should first reaffirm recognition justice by recognising energy rights, including the fundamental rights of energy vulnerable groups and the natural environment together with the rights of consumers as energy producers. Secondly, procedural justice should be strengthened from three perspectives, namely decision-making participation, information disclosure and judicial relief. Thirdly, distributive justice can be effectively promoted by establishing benefit-sharing mechanisms, setting fair, reasonable and non-discriminatory energy prices, and developing compensation mechanisms between regions.

Performance Analysis and Prospects of ESG Exchange-Traded Funds in the Mainland Chinese Market

This article delves into In this article, we conduct a comprehensive analysis of Environmental, Social, and Governance (ESG) Exchange-Traded Funds (ETFs) in the dynamic landscape of the Mainland Chinese market. The research categorizes existing academic perspectives into three distinct groups, evaluating whether ESG ETFs outperform, perform similarly, or underperform conventional ETFs. Employing a meticulous methodology, encompassing annualized volatility, daily average returns, Sharpe ratio, Information ratio, and tracking error, we delve into the nuanced performance metrics of these investment vehicles. The findings reveal a nuanced picture: within an annualized volatility range of 0.6% to 0.8%, ESG ETFs exhibit competitive performance, particularly demonstrating resilience in risk mitigation when market returns are negative. However, our analysis underscores crucial challenges in the current ESG landscape in Mainland China. The lack of clear ESG definitions and standardized evaluation criteria hampers a comprehensive assessment. Additionally, there is a notable disparity in ESG ratings for listed companies, adding complexity to accurate evaluations. Looking ahead, the study emphasizes the imperative of defining ESG standards clearly and establishing uniform evaluation systems and information disclosure mechanisms. These steps are essential to enhance the accuracy and reliability of ESG ETF evaluations, thereby fostering a more robust and stable investment environment. This research provides valuable insights for investors, policymakers, and market participants, illuminating the path toward optimizing the potential of ESG ETFs in the Mainland Chinese market.

Under the Hood of Activist Fraud Campaigns: Private Information Quality, Disclosure Incentives, and Stock Lending Dynamics

ABSTRACT Although activist short sellers can play a crucial role in fraud detection, they have come under scrutiny following accusations of systematically disseminating false negative information. We develop a framework delineating the roles of campaign-specific private information quality and short-selling dynamics in shaping disclosure incentives. We predict that the act of disclosure combined with pre-disclosure stock lending dynamics is informative about the quality of an activist’s private information. We find that increased pre-disclosure shorting intensity is associated with more negative post-disclosure returns, adverse media coverage, and consequential campaign outcomes, including auditor turnover, accounting restatements, class-action lawsuits, and performance-related delistings. Furthermore, elevated short-selling costs and risks magnify the association between pre-disclosure shorting intensity and post-disclosure underperformance. Finally, we examine V-shaped reversals and short covering following activists’ disclosures and find no evidence of systematic manipulation. We conclude that activists disclosing fraud allegations under their own names are discouraged from engaging in “short-and-distort” schemes. Data Availability: Data are available from the sources cited in the text. JEL Classifications: G12; G14; G23; M41.

Digital transformation and the herd behavior of corporate investment

Digital technology is a widespread integration of the benefits of digital transformation into all aspects of modern company operations. This paper examines how digital transformation affects firms’ investment herd behaviour. Based on listed firms from 2012 to 2022, this paper adopts a two-fixed model to explore the effects and underlying mechanisms. The findings indicate that digital transformation can effectively inhibit corporate investment herd behaviour, and the impact is achieved by enhancing internal information disclosure and external information intermediation. The findings offer empirical proof of how to effectively regulate the herd behaviour observed in financial markets in the digital era.

The impact of electricity sales side reform on energy technology innovation: An analysis based on SCP paradigm

The Electricity Sales Side Reform (ESSR) is a market-oriented reform directly targeting the electricity terminal, aimed at fostering a diversified and fully competitive market structure, particularly to encourage energy technology innovation (ETI). This study establishes a Structure-Conduct-Performance (SCP) framework, selects Chinese A-share listed companies from 2013 to 2019 as the research subjects, and employs the multi-period difference-in-differences (DID) method to examine the impact of ESSR on ETI. The primary findings are as follows: (1) ESSR effectively promotes ETI, indicating that changes in market structure enhance energy innovation performance. (2) ESSR stimulates long-term innovation incentives rather than short-term profit impulse, signifying that it intensifies market competition, optimizes resource allocation, and guides information disclosure, thereby supporting firms' ETI. This validates the theoretical paradigm of SCP. (3) The positive impact of ESSR on ETI exhibits heterogeneity. On the electricity generation side, the catalytic effect of ESSR on ETI is more pronounced in regions with lower traditional energy endowments and greater green electricity generation potential. On the electricity sales side, the incentive effect is more prominent in regions with higher electricity prices and a larger capacity in the electricity sales market. On the electricity consumption side, the incentive effect is stronger for enterprises with a cleaner energy structure and increased green investments. Therefore, our research findings bridge gaps in the existing literature and offer valuable insights for achieving a high level of ETI and facilitating energy structure transformation.