Studies On The Relationship Between Earnings Management And Hierarchy From Property Right Insight

Earnings management research,which is representative accounting information quality,has been gradually rising since the 1980 s,scholars study the impact factors of earnings management respectively from the perspectives of economics,management,and behavioral finance as the breakthrough point,but there is little research of earnings management from the viewpoint of culture.Hierarchy is a unique cultural phenomenon in China,it permeates all aspects of social activities and makes some influence on them.Accounting,which is a kind of interaction behavior of technology and social,is bound to be restricted by culture.Chinese economy is a mixed ownership economy of different property nature,which can be divided into state-owned and private enterprise.State-owned enterprises are based on foundation of public ownership economy,which are managed through the three-level management system,so the development of hierarchical formation is attached with administrative,while private enterprises is based on private ownership economy,and its hierarchical culture is guided by benefit-orientation.The different process of hierarchy formation and function mechanism makes different influence on earnings management.Through empirical research of non-financial companies listed in Shanghai and Shenzhen Stock Exchange Market,this paper found: hierarchical culture might be make different influence on earnings management from the different nature of property,the level of hierarchical culture is positive related significantly to the earnings management in state-owned enterprises,while negative in non-state enterprises.