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| Author: | Booth, P. Schulz, A. K.-D. |
| Title: | The impact of an ethical environment on mangers' project evaluation judgments under agency problem conditions |
| Journal: | Accounting, Organizations and Society
2004 : JUL-AUG, VOL. 29:5-6, p. 473-488 |
| Index terms: | Agency theory Ethics Management behaviour Project evaluation |
| Language: | eng |
| Abstract: | It is proposed here that a strong ethical environment will be effective in reducing the tendency for managers to continue failing projects in both the presence and absence of agency problems. The results support these propositions, with a strong ethical enviroment found to significantly reduce managers' tendency to continue failing projects. Also, while agency problem effects were still present under a strong ethical environment, their impact was similar to the case of a weak environment in the absence of agency problems. |
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