JOURNAL ARTICLE

What Can Bayesian Inference Do for Accounting Research?

  • Published In: Journal of Financial Reporting, 2023, v. 8, n. 2. P. 157 1 of 3

  • Database: Business Source Ultimate 2 of 3

  • Authored By: Schütt, Harm H. 3 of 3

Abstract

Bayesian statistics is a framework for combining new data with existing forms of information to yield more precise inferences than are possible using the data alone. Its greatest practical advantages are the flexibility it offers in incorporating prior information and beliefs, modeling heterogeneity, modeling latent constructs, and combining multiple data sources. There are two goals of this paper: to introduce accounting researchers to Bayesian inference and distinguish it from classical frequentist inference and to showcase when Bayesian modeling can improve inferences in many applications that are of interest to accounting researchers. Data Availability: Data are available from the public sources described in the text. JEL Classifications: C11; C53; G17; M40. [ABSTRACT FROM AUTHOR]

Additional Information

  • Source:Journal of Financial Reporting. 2023/09, Vol. 8, Issue 2, p157
  • Document Type:Article
  • Subject Area:Engineering
  • Publication Date:2023
  • ISSN:2380-2154
  • DOI:10.2308/JFR-2021-002
  • Accession Number:173458164
  • Copyright Statement:Copyright of Journal of Financial Reporting is the property of American Accounting Association and its content may not be copied or emailed to multiple sites without the copyright holder's express written permission. Additionally, content may not be used with any artificial intelligence tools or machine learning technologies. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

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