Response to the Discussion of "The Effect on Financial Reporting Quality of an Exemption From the SEC Reporting Requirements for Foreign Private Issuers"

We appreciate the thorough discussion provided by Professor Yuan Ding. His comments raise legitimate issues. In this response, we offer clarifications and suggest avenues for future research. Our response follows the structure of the discussant’s paper and elaborates on each point separately.

The Effect on Financial Reporting Quality of an Exemption From the SEC Reporting Requirements for Foreign Private Issuers

We test for differences in financial reporting quality between companies that are required to file periodically with the SEC and those that are exempted from filing reports with the SEC under Rule 12g3-2(b). We examine three earnings quality measures: conservatism, abnormal accruals, and the predictability of earnings. Our results, for all three measures, show different financial reporting quality for companies that file with the SEC than for companies exempt from filing requirements. This paper provides empirical evidence of a link between filing with the SEC and financial reporting quality for foreign firms.

Development of Measurement Methods for Testing of Hydrokinetic Devices to Evaluate the Environmental Effect on Local Substrate

Modifications and upgrades to the hydraulic flume facility in the Environmental Fluid Mechanics and Hydraulics Laboratory (EFM&H) at Bucknell University are described. These changes enable small-scale testing of model marine hydrokinetic(MHK) devices. The design of the experimental platform provides a controlled environment for testing of model MHK devices to determine their effect on localsubstrate. Specifically, the effects being studied are scour and erosion around a cylindrical support structure and deposition of sediment downstream from the device.

Addition of Zinc Sulfide Shells to Semiconducting Nanoparticles and its Effect on the Nanoparticle Fluorescence Emission Properties

The addition of a ZnS shell to CdSe and CdS quantum dot cores was explored using various methods. Spectrophotometry was used to assess the success of ZnS overcoating, which produces both an increase in overall fluorescence and decrease in particle size distribution. A new method was developed, involving preheating of the zinc and sulfide precursor solutions, resulting in CdSe(ZnS) particles with improved fluorescence and a more uniform shell coating from oleylamine-capped CdSe core particles.