Purpose

This paper examines the link between culture, institutional quality and real earnings management and accrual earnings management by combing the study by Hofstede (2001) and Enomoto et al. (2015). The paper tries to test the effect of culture on institutional quality and both real earnings management (REM) and accrual earnings management (AEM).

Design/methodology/approach

The sample of the research paper includes 38 countries. Hofstede cultural dimensions are used to measure cultural values. Public governance indicators published by the World Bank are used as a proxy for measuring the institutional quality. Earning management scores constructed by Enomoto et al. (2015, p. 191) are used for measuring real earnings management (REM) and accrual earnings management (AEM). Partial Least Square (PLS) based Structural Equation Modelling (SEM) is used to test the relationship between culture, institutional quality and earnings management.

Findings

The results support the relationship between culture and institutional quality. Also, the results reveal a significant relationship between culture and accrual earnings management, but an insignificant relationship between culture and real earnings management. In addition to that, another important finding is that institutional quality has a significant impact on real earnings management, but has no significant effect on accrual earnings management.

Practical implications

The results suggest that standard setters need to consider the quality of institutions to improve the quality of financial reports. Also, it highlights the role of both formal and informal cultures in shaping financial reports.

Originality/value

For the best of our knowledge, this the first time to test the link between culture and institutional quality and comparing the impact on both real earnings management and accrual earnings management.

中文翻译：

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文化、制度质量和盈余管理：国际证据

目的

本文通过梳理 Hofstede (2001) 和 Enomoto等人的研究，检验了文化、制度质量与实际盈余管理和应计盈余管理之间的联系。（2015 年）。本文试图检验文化对机构质量以及真实盈余管理 (REM) 和应计盈余管理 (AEM) 的影响。

设计/方法/方法

研究论文的样本包括 38 个国家。霍夫斯泰德文化维度用于衡量文化价值。世界银行公布的公共治理指标被用作衡量制度质量的指标。Enomoto等人构建的收益管理分数。(2015, p. 191) 用于衡量实际盈余管理 (REM) 和应计盈余管理 (AEM)。基于偏最小二乘 (PLS) 的结构方程模型 (SEM) 用于测试文化、机构质量和盈余管理之间的关系。

发现

结果支持文化和制度质量之间的关系。此外，结果揭示了文化与应计盈余管理之间的显着关系，但文化与实际盈余管理之间的关系不显着。除此之外，另一个重要发现是机构质量对实际盈余管理有显着影响，但对应计盈余管理没有显着影响。

实际影响

结果表明，准则制定者需要考虑机构质量来提高财务报告的质量。此外，它强调了正式和非正式文化在塑造财务报告中的作用。

原创性/价值

据我们所知，这是首次测试文化与制度质量之间的联系，并比较了对实际盈余管理和应计盈余管理的影响。