EMPIRICAL EVIDENCE ON THE DEPTH OF CORPORATE INFORMATION DISCLOSURE IN DEVELOPING COUNTRIES: THE CASE OF JORDAN

Abstract

Over the last decade, Jordanian Authorities and Government adopted several far‐reaching measures aimed at improving its investment environment. These measures included the introduction of International Accounting Standards (IASs) in 1990, amendment of the Companies Act in 1997 and amendments to Investment Promotion Law in 1998. This study specifically provides empirical evidence on changes in the depth of corporate disclosure after introducing IASs. In addition, the relationship between the depth of corporate disclosure and company's attributes is investigated. The outcome of the analysis reveals a slight improvement in the depth of disclosure after the introduction the IASs. The depth of disclosure seems to be associated with corporate size, audit firm status, liquidity, gearing, and profitability.