The Accounting Review Vol. 62 No. 1 1987
The Properties of Sequential Regressions with Multiple Explanatory Variables
Abstract
[The sequential treatment adopted in many multiple signal studies is consistent with a simultaneous treatment and with other apparently diverse sequential approaches. More importantly, the conventional residual security return research design, which is also a sequential approach, can lead to downward-biased estimates of the incremental explanatory power of the accounting variables introduced at the second stage. This finding is striking in that it implies that the most pervasive use of a sequential approach is likely to lead to biased results.]
- Volume
- 62
- Issue
- 1
- Pages
- 137-144
- Sources
- bibtex:phds-export.bib