Title

A Variance Decomposition Primer for Accounting Research

Publication Type

Journal Article

Publication Date

2010

Abstract

This pedagogical note introduces the accounting-based variance decomposition methodology of Vuolteenaho (2002) in a relatively simple format for the edification of accounting scholars and doctoral students who wish to use variance decomposition in their research. In addition to presenting an example that explicates the variance decomposition approach, we provide well-documented SAS and STATA programs for estimating variance decompositions from cross-sectional time-series data.

Discipline

Accounting

Research Areas

Corporate Governance, Auditing and Risk Management

Publication

Journal of Accounting Auditing and Finance

Volume

25

Issue

1

First Page

121

Last Page

142

ISSN

0148-558X

Identifier

10.1177/0148558X1002500105

Publisher

SAGE