Has Dodd-Frank discouraged voluntary disclosures?

Feb 06, 2020

Sections Accounting Video

One of the goals of the 2010 Dodd–Frank Act was to make banks, and especially large banks, more transparent about their financial health. But though it mandated reporting of some information, has it encouraged or discouraged banks from providing additional information voluntarily? Chicago Booth’s Anya Kleymenova and Rutgers’s Li Zhang find that in some respects it has improved voluntary reporting, but also discouraged voluntary disclosure of bad news.