Falsified Accounting Plagues Chinese Companies, Threatening Market Stability
The article discusses the need for a better system to evaluate the performance of Chinese listed companies. Currently, some companies manipulate their accounting records to make their performance look better than it actually is. This can mislead investors and harm the overall health of the stock market. The researchers suggest creating a new set of criteria to accurately assess the true performance of these companies. By doing so, investors can make more informed decisions and the market can grow in a more stable and reliable way.