where, for sample firm i; CARit is the cumulative net-of-market 12-month stock returns at year t; NIit the net earnings at year t divided by the market value of equity at the beginning of year t; fixed effects the dummy variables controlling for fixed effects of calendar years and/or economies, and uit the error term at year t:The regressions are performed year by year, economy by economy, and pooling all of the years and economies. The results are reported in Table 2. Because we generally find heteroskedasticity problems in the regressions, we report White-adjusted tstatistics for all the coefficients. Fixed effects of calendar years and/or economies, where appropriate, are included as dummy intercepts in the regressions. For simplicity, they are not reported in the table. The estimated coefficients of earnings (NI) are positive and statistically significant across all the years and economies, suggesting that earnings have an information role in East Asia.