3 papers
econ.TH2026
Audit the Auditors: Commitment versus Professional Judgment
Pingyang Gao, Jinzhi Lu, Zhenpeng Yang
This paper provides a theoretical framework to evaluate the trade-off between the self-regulated peer review system and independent government inspection (PCAOB) in the auditing pr…
econ.GN2026
A Theory of Covenant Accounting Adjustment
Pingyang Gao, Xu Jiang, Jinzhi Lu
We develop an incomplete-contracting model with accounting-based covenants to study how covenant accounting adjustments are made and what properties they exhibit. Standard accounti…
econ.GN2024
A Theory of Investors' Disclosure
Jinzhi Lu, Pingyang Gao
We investigate investors voluntary disclosure decisions under uncertainty about their information endowment (Dye 1985). In our model, an investor may receive initial evidence about…