Regulating data: Evidence from corporate America

IF 2.2 3区管理学 Q2 BUSINESS, FINANCE Journal of Business Finance & Accounting Pub Date : 2024-07-14 DOI:10.1111/jbfa.12820

Fabio Motoki, Jedson Pinto

引用次数: 0

Abstract

Using the enforcement of the General Data Protection Regulation (GDPR) as our empirical setting, we examine how stricter data privacy and data protection requirements affect shareholder wealth, firms’ investment decisions, and data breaches. Consistent with consumer privacy negatively affecting firms, we find that U.S. firms exposed to the GDPR lose 0.7%–1.1% in market value relative to unexposed firms in the week in which the regulation became enforceable. We find that the decrease in market value is partially attributable to a decrease in sales growth. GDPR-exposed firms increase their investment above that of control firms and become less likely to report a data breach post-regulation. The decrease in data breach likelihood is statistically and economically significant, resulting in up to 34 million records not being leaked, which costs between $205 million and $561 million to firms in breach mitigation expenses per year. The results of this study should be of interest to academics and regulators worldwide by examining the costs and benefits of regulating data.

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规范数据：来自美国公司的证据

我们以《通用数据保护条例》（GDPR）的实施为实证背景，研究了更严格的数据隐私和数据保护要求对股东财富、公司投资决策和数据泄露的影响。与消费者隐私对企业的负面影响相一致，我们发现，与未受 GDPR 影响的企业相比，受 GDPR 影响的美国企业在该法规开始实施的一周内会损失 0.7%-1.1% 的市场价值。我们发现，市值下降的部分原因是销售增长下降。受 GDPR 影响的企业的投资增幅高于对照企业，并且在法规实施后报告数据泄露的可能性降低。数据泄露可能性的降低在统计学和经济学上都具有重要意义，这导致多达 3400 万条记录没有泄露，企业每年因此损失 2.05 亿至 5.61 亿美元的泄露缓解费用。通过研究数据监管的成本和收益，这项研究的结果应该会引起全球学术界和监管机构的兴趣。

本文章由计算机程序翻译，如有差异，请以英文原文为准。

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来源期刊

Journal of Business Finance & Accounting BUSINESS, FINANCE-

CiteScore

4.40

自引率

17.20%

发文量

期刊介绍： Journal of Business Finance and Accounting exists to publish high quality research papers in accounting, corporate finance, corporate governance and their interfaces. The interfaces are relevant in many areas such as financial reporting and communication, valuation, financial performance measurement and managerial reward and control structures. A feature of JBFA is that it recognises that informational problems are pervasive in financial markets and business organisations, and that accounting plays an important role in resolving such problems. JBFA welcomes both theoretical and empirical contributions. Nonetheless, theoretical papers should yield novel testable implications, and empirical papers should be theoretically well-motivated. The Editors view accounting and finance as being closely related to economics and, as a consequence, papers submitted will often have theoretical motivations that are grounded in economics. JBFA, however, also seeks papers that complement economics-based theorising with theoretical developments originating in other social science disciplines or traditions. While many papers in JBFA use econometric or related empirical methods, the Editors also welcome contributions that use other empirical research methods. Although the scope of JBFA is broad, it is not a suitable outlet for highly abstract mathematical papers, or empirical papers with inadequate theoretical motivation. Also, papers that study asset pricing, or the operations of financial markets, should have direct implications for one or more of preparers, regulators, users of financial statements, and corporate financial decision makers, or at least should have implications for the development of future research relevant to such users.

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