2009/02/10 by ROBERT W. HOLTHAUSEN, Robert W. Holthausen · 329 citations
Business, Management and Accounting · #Accounting #Accounting Theory and Financial Reporting #Accounting information system #Accounting standard #Auditing, Earnings Management, Governance #Business #Enforcement #Finance #Financial Reporting and Valuation Research #Financial accounting #Political science
paper · open access · doi:10.1111/j.1475-679x.2009.00330.x
published in Journal of Accounting Research 47(2), 447-458 (Wiley)
openalex publication_date 2009/02/10 · openalex created_date 2025/10/10 · openalex updated_date 2026/07/26
In this paper, I draw parallels between the literatures on the effects of law on the financial development of countries and on the effects of accounting standards on financial reporting outcomes. My central thesis is that these literatures are complementary in terms of what they have to say about understanding the effects of law, regulations and accounting standards on economic and financial reporting outcomes. Moreover, both literatures suggest that U.S. securities laws and financial reporting standards have taken a more regulatory direction over time. I then take these themes and draw implications for the effects of the adoption of International Financial Reporting Standards (IFRS) around the world at the time of adoption and over time.