This book deals with the economic consequences of the current financial reporting requirements for Research and development. The book contains two studies that shed light on the impact of R&D reporting in one developed (USA) and one less developed economy (Egypt). In the first analysis, I find that R&D productivity increases cost of capital and information risk factors directly and indirectly through motivating managerial accounting discretion. High R&D expenditure firms incur 23.4 (216) basis points higher cost of debt (equity) compared to low R&D expenditure firms. Also, R&D firms have...