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Endogenous Accounting Bias when Decision Making and Control Interact


  • Accepted by Raffi Indjejikian. We appreciate helpful comments from Anil Arya, Shane Dikolli, Paul Fischer, Christian Hofmann, Pino Lopomo, Mohan Venkatachalam, Dae-Hee Yoon, and workshop participants at Baruch College, Emory University, Fudan University, University of Mannheim, and Tsinghua University. Financial support from Fuqua School of Business at Duke University (for Chen and Zhang), from Yale School of Management and Ohio State University Fisher College of Business (for Mittendorf), and from the George Washington University School of Business (for Yun Zhang) is gratefully acknowledged.