The Association Between Municipal Market Measures and Selected Financial Reporting Practices: Additional Evidence

Wilson, Earl R.; Howard, Thomas P.

doi:10.2307/2490709

Cited by 68 publications

(28 citation statements)

References 9 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…Indeed, prior literature documents how creditors react to financial information. For instance, bond ratings are lowered in response to declining financial condition (Wallace 1981;Copeland and Ingram 1982) and cost of debt is lower for municipalities with higher financial disclosure levels (Wilson and Howard 1984;Gore 2004;Gore, Sachs, and Trzcinka 2004;Baber and Gore 2009). It follows then that creditors serve as an important monitor of the municipality's finances.…”

Section: Hypothesesmentioning

confidence: 99%

The Use of Inter-Fund Transfers to Manage the “Bottom Line” in the Municipal Context

Felix

2014

Journal of Governmental &Amp; Nonprofit Accounting

View full text Add to dashboard Cite

This study examines whether municipalities use inter-fund transfers to manage the general fund. Since the general fund is a municipality's largest fund, its financial position often reflects that of the whole municipality. Results indicate that transfers are used to manage the general fund toward zero. In particular, the tendency to use transfers to manage the general fund does not differ between general funds that had a positive and negative pre-managed change in fund balance, suggesting the incentive to report neither surplus nor deficit exists. Results also reveal that the practice of using transfers to manage the general fund toward zero is more substantial in municipalities with greater external oversight from citizens, creditors, state and federal granting agencies, and employees, as well as in municipalities with a strong-mayor form of government.

show abstract

Section: Hypothesesmentioning

confidence: 99%

The Use of Inter-Fund Transfers to Manage the “Bottom Line” in the Municipal Context

Felix

2014

Journal of Governmental &Amp; Nonprofit Accounting

View full text Add to dashboard Cite

show abstract

“…The frequently used empirical gauges of fiscal stress are the current year general fund surplus (or deficit) and the year-end general fund balance (Reck, Wilson, Gotlob, & Lawrence, 2001;Wilson, 1983;Wilson & Howard, 1984 …”

Section: Fiscal Stress Of Governmentsmentioning

confidence: 99%

“…Based on the literature review, the governments that are under higher fiscal pressure tend to fund their pension plans at lower levels, which would worsen the financial status of public pension systems (Chaney, Copley, & Stone, 2002;Coggburn & Kearney, 2010;Eaton & Nofsinger, 2004;McCue, 1994). Followed the previous practices (Reck, Wilson, Gotlob, & Lawrence, 2001;Wilson, 1983;Wilson & Howard, 1984), the indicator selected in this study for the fiscal stress is the excess/deficiency of revenue over/under expenditure (total account at city level year end) per 1,000 populations. The gauge is standardized by population in order to control the impact of city size differences.…”

Section: Financial Factorsmentioning

confidence: 99%

Sustainable Public Pension System for Florida Local Governments: Financial Solvency, Paradigm Switch, and Interperiod Equity

Cong¹

View full text Add to dashboard Cite

Incremental changes to amend the existing defined benefit plans (DB plans), and the pension model switch from the DB model to defined contribution plans (DC plans).This study aims to uncover reform strategies to cope for public pension systems. The results suggest that incremental reform strategies that reduce benefits and increase contributions are not effective in improving the financial solvency of public DB plans. The alternative reform approach-the DB-to-DC transition-is attractive to local governments because it will relieve the employer of the pension cost burden and transfer the investment risk to employees themselves. The transition is also politically palatable because the taxpayer sentiment is not supportive of what are perceived to be generous retirement benefit of public employees. Meanwhile, local governments are hesitant to implement the paradigm switch due to prohibitive transition costs, political pressure, and perhaps more importantly, the potential negative impacts to public recruitment and retention. Local officials do not perceive a reduction of morale with the two-tier benefit structure at the present time; they believe this issue will solve itself along the retirement of senior employees.

show abstract

“…Consequently, accounting-related variables used in prior bond studies have been selected on an ad hoc basis. Thus, we have selected test variables that are comparable to those used in earlier studies (e.g., Wallace, 1981;Wilson, 1983;Wilson and Howard, 1984;Raman and Wilson, 1994;Ingram and Wilson, 1999;Reck et al, 2004). These factors are also indicative of those that bond analysts are known to examine in assessing municipal default risk.…”

Section: Model Developmentmentioning

confidence: 99%

Information transparency and pricing in the municipal bond secondary market

Reck

Wilson

2006

Journal of Accounting and Public Policy

Self Cite

View full text Add to dashboard Cite

The Association Between Municipal Market Measures and Selected Financial Reporting Practices: Additional Evidence

Cited by 68 publications

References 9 publications

The Use of Inter-Fund Transfers to Manage the “Bottom Line” in the Municipal Context

The Use of Inter-Fund Transfers to Manage the “Bottom Line” in the Municipal Context

Sustainable Public Pension System for Florida Local Governments: Financial Solvency, Paradigm Switch, and Interperiod Equity

Information transparency and pricing in the municipal bond secondary market

Contact Info

Product

Resources

About