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Early warning models are a widely employed development in modern finance. A good early warning model predicts with a high degree of accuracy the likelihood that a healthy company will either go bankrupt or become financially distressed. Now that B2B companies supply products worldwide, the risk of disruptions to business continuity due to supplier failure is international. This paper aims to focus on early warning models.

This paper extends the research comparing indicators of financial health to the subject of how industrial globalization affects early warning models. In specific, it considers models developed across two continents: North America and East Asia. The targets of the research are global auto suppliers, companies that deliver parts and equipment to original equipment auto manufacturers.

The findings are particularly important because of the collapse and resurrection of US original equipment manufacturers (OEMs). The modeling effort tested the ability of a single global model of financial distress to capture the determinants of auto supplier health on the two continents. Individual models for each continent proved to be superior to a single model.

This paper is the first to compare bankruptcy models for auto suppliers between China and the USA.

The purpose of this paper is to investigate, using data on US manufacturing firms, how and when corporate governance affects managers' decisions to use discretionary accruals and thereby artificially influence company financial reports.

Three‐stage least squares is employed to study the relationship between financial status, corporate governance and financial reporting discretion. The sample spans the years 2001‐2003 during a severe downturn in the US stock market. Financial status is measured with the Altman Z‐score.

A significant difference is found between firms not classified as healthy or failed (i.e. the mid‐range group) and the two extreme categories when examining governance quotient using a well‐known index. A positive relationship is found between discretionary accruals and the governance index. Strong governance appears to reduce the incidence of mid‐range firms engaging in accruals management. The least healthy and the most distressed companies have the weakest relationship with discretionary accruals. By contrast, mid‐range firms are more likely to resort to discretionary accruals.

Non‐executive members of boards of directors are warned to be particularly vigilant about discretionary accruals with firms transitioning between healthy and high‐failure risk.

The relationship between firms' financial health and discretionary accruals reveals an agency problem in credit markets with financially stressed firms. More attention is required on firms whose financial condition is uncertain. Also, it is documented that significant findings of importance to the earnings quality and corporate governance literature by documenting the role of corporate governance on discretionary accruals and financial status.

The purpose of this paper is to identify some key issues for the analysis of corporate governance based on the papers within this special issue including the Guest Editor's perspectives.

The five papers included in this special issue are summarized and their main contribution to the literature is highlighted.

The paper collectively deal with the role and impact of corporate boards on the quality of information provided to capital markets.

The theoretical and empirical research included in the special issue advance the understanding of corporate governance which provides impetus for practitioner and policy change.

The normative concepts of best practice need to be validated by empirical testing in the context of firms and their institutional settings. This suite of papers provides evidence of the effectiveness of corporate governance in improving accounting quality.

This essay uses the sociology of race in the United States (as it pertains to the study of African Americans) as point of entry into the larger problem of what implications and impact the body of theory known as “postcolonialism” has for American sociology. It assesses how American sociology has historically dealt with what the discipline (in its less enlightened moments) called the “Negro Problem” and in its more “enlightened moments” called “the sociology of race relations.” The first half of the essay provides a sociological analysis of a hegemonic colonial institution – education – as a means of providing a partial history of how, why, and when American sociology shifted from a more “global” stance which placed the “Negro Problem” within the lager rubric of global difference and empire to a parochial sociology of “race relations” which expunged the history of colonialism from the discipline. The second half of the essay applies postcolonial literary theory to a series of texts written by the founder of the Chicago school of race relations, Robert Ezra Park, in order to document Park's shift from analyzing Black Americans within a colonial framework which saw the “Negro Problem” in America as an “aspect or phase” of the “Native Problem” in Africa to an immigration/assimilation paradigm that tenaciously avoided engaging with the fact that Black resistance to conflict in America might be articulated in global terms.

IT seems rather strange that while the general property of wing flaps of putting up both the lift and the drag of a wing at the same time has been known for many years, so little practical application of this result has been made until quite recently.

Places recent trends in policing in the USA into historical context, emphasizing the critical importance of political, economic, and social forces on the formation and development of police institutions and practices. Specifically, this paper describes four major developments in policing in relation to the US political economy: pre‐industrial police, industrial police, modern police, and postmodern police. Each of these developments has unique characteristics. At the same time, each retains certain structural imperatives which transcend the particulars and ultimately tend to preserve the police as front line defenders of the status quo. It is through an analysis of historically specific characteristics of, and fundamental structural conditions for policing that this paper contributes to a better understanding of the potential of contemporary police agencies to play a role in achieving either greater social justice or just greater social control.