A Variance Decomposition Primer for Accounting Research
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.
Corporate Governance, Auditing and Risk Management
Journal of Accounting Auditing and Finance
Callen, Jeffrey L. and SEGAL, Dan.
A Variance Decomposition Primer for Accounting Research. (2010). Journal of Accounting Auditing and Finance. 25, (1), 121-142. Research Collection School Of Accountancy.
Available at: http://ink.library.smu.edu.sg/soa_research/800