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| R&D Cut under Real Earnings Management Motivation and Innovation Output-Research based on Innovation Output Quantity, Quality and Efficiency |
| He Yanan,Yuan Chunsheng,Feng Xiaoyu |
| (Faculty of Accounting, Shanxi University of Finance & Economics, Taiyuan 030006, China) |
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Abstract Taking Chinese A-share listed companies from 2007 to 2017 as the sample, this paper investigates the impact of firms' R&D cut under real earnings management motivation on their innovation output through identifying real earnings management motivation based on these there earnings benchmark: zero earnings, previous period's earnings, analysts' earnings forecasts.The findings show that, compared to other motivations, firms' R&D cut under real earnings management motivation will lead to lower innovation output, quality and efficiency in future three years.Furthermore, the results are still robust when the scope of earnings management identification is expanded, the whole sample is used for testing, and explained variables are replaced.
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Received: 13 March 2019
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