--- _id: '5101' abstract: - lang: eng text: Prior literature finds that International Financial Reporting Standards (IFRS) adopters enjoy lower financing costs subsequent to IFRS adoption. We predict and find that mandatory IFRS adopters exploit lower financing costs to increase market share vis-à-vis non-adopters. This effect is robust across several different model specifications in a sample capturing the universe of public and private firms in the EU, in a matched sample of public and private firms, and in a public firm sample comparing mandatory and voluntary IFRS adopters. We further find that IFRS is associated with an increase (decrease) in industry sales concentration (competition), consistent with large public firms increasing market share. In supplemental analyses, we find that mandatory adopters issue more equity and debt after IFRS adoption and that larger market share gains accrue to those mandatory IFRS adopters that issue more equity and debt after IFRS adoption. Overall, we provide evidence of unintended product market consequences of IFRS adoption. author: - first_name: Jimmy F full_name: Downes, Jimmy F last_name: Downes - first_name: Vanessa full_name: Flagmeier, Vanessa id: '8084' last_name: Flagmeier - first_name: David full_name: Godsell, David last_name: Godsell citation: ama: Downes JF, Flagmeier V, Godsell D. Product market effects of IFRS adoption. Journal of Accounting and Public Policy. 2018;37(5):376-401. doi:10.1016/j.jaccpubpol.2018.09.004 apa: Downes, J. F., Flagmeier, V., & Godsell, D. (2018). Product market effects of IFRS adoption. Journal of Accounting and Public Policy, 37(5), 376–401. https://doi.org/10.1016/j.jaccpubpol.2018.09.004 bibtex: '@article{Downes_Flagmeier_Godsell_2018, title={Product market effects of IFRS adoption}, volume={37}, DOI={10.1016/j.jaccpubpol.2018.09.004}, number={5}, journal={Journal of Accounting and Public Policy}, publisher={Elsevier}, author={Downes, Jimmy F and Flagmeier, Vanessa and Godsell, David}, year={2018}, pages={376–401} }' chicago: 'Downes, Jimmy F, Vanessa Flagmeier, and David Godsell. “Product Market Effects of IFRS Adoption.” Journal of Accounting and Public Policy 37, no. 5 (2018): 376–401. https://doi.org/10.1016/j.jaccpubpol.2018.09.004.' ieee: J. F. Downes, V. Flagmeier, and D. Godsell, “Product market effects of IFRS adoption,” Journal of Accounting and Public Policy, vol. 37, no. 5, pp. 376–401, 2018. mla: Downes, Jimmy F., et al. “Product Market Effects of IFRS Adoption.” Journal of Accounting and Public Policy, vol. 37, no. 5, Elsevier, 2018, pp. 376–401, doi:10.1016/j.jaccpubpol.2018.09.004. short: J.F. Downes, V. Flagmeier, D. Godsell, Journal of Accounting and Public Policy 37 (2018) 376–401. date_created: 2018-10-31T06:59:36Z date_updated: 2022-01-06T07:01:38Z department: - _id: '551' - _id: '189' doi: 10.1016/j.jaccpubpol.2018.09.004 intvolume: ' 37' issue: '5' jel: - D43 - G32 - G38 keyword: - Financial reporting regulationProduct market competition language: - iso: eng page: 376-401 publication: Journal of Accounting and Public Policy publication_status: published publisher: Elsevier status: public title: Product market effects of IFRS adoption type: journal_article user_id: '64756' volume: 37 year: '2018' ...