Do Firms Smooth Earnings Less When They Can Hedge Noise Better?
研究发现，企业通过衍生品更好地对冲外汇风险后，会减少使用会计手段平滑盈余，表明平滑部分源于应对外部无法区分暂时冲击与持续趋势的压力。
ABSTRACT Firms’ use of accounting discretion to report a smooth earnings profile is commonly believed to be pervasive. We examine whether smoothing, at least partly, reflects managerial attempts to avert unhealthy pressures from outsiders who cannot fully disentangle the impact of transitory shocks from sustainable trends in value creation. Using variation in firms’ ability to hedge foreign currency (forex) exposure through derivatives, we find that firms are less likely to smooth earnings when they can better shield their business from extraneous forex fluctuations. Our findings inform the debate on discretion in accounting rules and illustrate how markets that facilitate efficient reallocation of risk can shape the informational properties of accounting output. JEL Classifications: F31; G32; M41.