Regulation and legal nature as determinants of financial information quality in universities
DOI:
https://doi.org/10.62059/LatArXiv.preprints.186Keywords:
Earnings managment, Earnings quality, UniversitiesAbstract
This research aimed to estimate accounting manipulation practices in Chilean universities by using earnings management models. By employing financial reports from 53 universities for the years 2014 to 2022, a model was implemented to estimate discretionary accruals using the econometric technique known as the Generalized Method of Moments. Two specific hypotheses were tested: on the one hand, the difference in discretionary accruals between public and private entities, and on the other hand, whether the increased regulations on the Chilean higher education system since 2018 have reduced earnings management. It was found that public universities report lower earnings management and therefore higher quality financial information. Additionally, it was confirmed that the increased regulations introduced to the higher education system in Chile do not impact the earnings management of entities. This research, unprecedented in the national context, has practical implications for both regulatory bodies and university administrators, as it is equally important to ensure the financial sustainability of entities and the quality of the financial information upon which sustainability assessments are based.
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Data Availability Statement
Los datos utilizados en este estudio no han sido puestos a disposición del público de los autores. Sin embargo, la fuente de los datos se encuentran tanto en el Ministerio de Educación de Chile (www.mifuturo.cl/sies/) como en la Superintendencia de Educación Superior del mismo país (www.sesuperior.cl).
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Copyright (c) 2024 Alejandro Diaz Ramos, René Garcías Molina (Autor/a)
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