Using one of the largest samples of litigation data available to date, we examine whether the political culture of a firm determines its propensity for corporate misconduct. We measure political culture using the politi- cal contributions of top managers, firm political action committees, and local residents. We show that firms with a Republican culture are more likely to be the subject of civil rights, labor, and environmental litigation than are Democratic firms, consistent with the Democratic ideology that emphasizes equal rights, labor rights, and envi- ronmental protection. However, firms with a Democratic culture are more likely to be the subject of litigation related to securities fraud and intellectual property rights violations than are Republican firms, whose party ideology stresses self-reliance, property rights, market discipline, and limited government regulation. Upon lit- igation filing, both types of firms experience similar announcement reaction, which suggests that the observed relationship between political culture and corporate misconduct is unlikely to reflect differences in expected litigation costs.

In the era of digital economy, the development and application of digital intelligence technology are changing rapidly, and human society has entered a new era where digital intelligence technology is rapidly advancing and playing an important role. Workers who master digital intelligence technology play a decisive role in the sustained and healthy development of enterprises, and the human capital possessed by workers has become the driving force for high-quality development of enterprises. The recognition and measurement of the value of human capital possessed by workers is the foundation and prerequisite for motivating workers, and the recognition and measurement of human capital value has become a core issue that urgently needs to be studied in human resource equity accounting. The article briefly introduces the development of human resource accounting theory, expounds that establishing human capital property rights is an important condition for the sustainable development of enterprises in the digital economy era, stimulates the potential of human capital, and is conducive to accelerating economic transformation and upgrading. The dynamic equity distribution mechanism is an important way to stimulate the vitality of human capital.