Author： Ghorbel Faten Hakim Omri Mohamed Ali
Publisher： Inderscience Publishers
ISSN： 1758-2164
Source： International Journal of Business Continuity and Risk Management, Vol.4, Iss.2, 2013-09, pp. : 128-138
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Abstract
This study addresses whether an auditor change affects information asymmetry as measured by bid-ask spread. We adopt a panel data methodology over the period 2000-2006. Consistent with the hypothesis that auditor change is important to the capital markets, we find that the auditor switches have associated with a positive market reaction. Furthermore, the result supports the assumption that the market supposes auditor change to big reduces information asymmetry. The results could be of assistance to Tunisian investor, since they can rely on a higher assurance audit quality after auditor change.
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