How Does Using a Mobile Device Change Investors’ Reactions to Firm Disclosures?

Abstract

I examine how characteristics of investors' information access tools change investors' reactions to firm disclosures. I examine my research question in the context of information choice (i.e., allowing investors to choose the order of information and sections to read within a disclosure) and spatial layout (i.e., how information is displayed when viewing the disclosure). Results of an experiment are consistent with information choice improving investors' judgments if the disclosure is viewed on a computer screen. Conversely, and consistent with cognitive overload, information choice harms investors' judgments if the disclosure is viewed on a smaller screen, such as that of a mobile device. Follow-up experiments show that changing the disclosure presentation to reduce the need to scroll is one way to improve investors' judgments * University of Washington.Accepted by Christian Leuz. This paper is based on my doctoral dissertation completed at the University of Illinois at Urbana-Champaign. I thank my committee members-Jessen Hobson, Mark Peecher, Tiffany White, and especially my chair, Brooke Elliott. I also thank an anonymous reviewer,

The power of internet exposure: influence of online news coverage on restaurant survival

“…App news is, therefore, more visible (Dunaway et al, 2018). Furthermore, previous studies have shown that individuals will engage less with the detailed information displayed on mobile phones because of the small screen (Grant, 2020), which means the precise facts and even the overall tone (positive, negative or neutral) of the news articles are ignored, while the restaurant's name and brand do nevertheless make some impression. Conversely, the details of news articles are likely to be more noticed if presented on a Web page accessed by a computer (with a large screen), and negative news will thereby have a much larger impact.…”

The impact of different age-friendly smart home interface styles on the interaction behavior of elderly users

“…The sample data selected in this paper is limited, and users can choose the posture according to their comfort and the actual situation of the environment when using mobile products, more samples should be added in the future to verify the findings of this article. The elderly population is affected by physical function, and the size of the mobile phone screen, the different positions and shapes of the device buttons, finger dexterity, and the reaction time of the subjects all affect the accuracy of the users' operations (Grant, 2020 ; Sanchez et al, 2021 ). In addition, the electrical skin response and heart rate can vary depending on individual differences, level of skin dryness, and experimental environment.…”

How Do Disclosure Repetition and Interactivity Influence Investors’ Judgments?

“…Prior evidence shows an inverse-U relation between cognitive load and performance, where moderate levels of cognitive load improve judgments but high levels of cognitive load harm judgments (Grant [2020], Paas, Renkl, and Sweller [2003]). Importantly, cognitive load theory would suggest a different interactive pattern from what we observe, given that greater interactivity and repetition may both increase cognitive load.…”