What factors influence the development and implementation of accounting systems in foreign countries
He has considered thatover the last two decades, the Anglo-Saxon culture has deeply influenced national cultures. The Anglo-American influence on international accounting standards: The case of the Disclosure standards of the international accounting standards committee. However, we find that such factors as culture, the political system and the existence of a capital market have not significantly affected the decision to adopt the IFRS.
An empirical analysis of international accounting standards, equity markets, and economic growth in developing countries. External environment, culture, and accounting practice: A preliminary test of a general model of international accounting deve lopment.
Factors affecting accounting system
Advances in International Accounting, He established the existence of a wandering accounting developed among the reviewed French business groups subject of study. Actually, they conclude that those developing countries having a capital market, advanced educational levels and high economic growth are more inclined to adopt IFRS. They came to conclude that the political and economic factors are the elements which most contribute to this development. First, we find that such factors as culture, the political system and the existence of a capital market have not significantly affected the decision to adopt the IFRS. Moreover, on examining the development of accounting regula tions in Jordan, Al-Akra et al. Will harmonizing accounting standards really harmonize accounting? Actually, understanding, interpreting and applying these standards need a certain level of education and university training. The empirical analysis results have shown that the developing countries most favorable to the adoption of IFRS are those having a high economic growth rate, a high level of education and common law based a legal system. Finally, the sixth concluding section is consecrated to present the research findings along with its limitations. Accounting method choice in the software industry: characteristics of firms electing early adoption of SFAS No. This confirms even more the fact once again that accounting development has never been dissociated from economic development. International accounting standards and economic growth: an empirical investigation of their relationship in Africa. Noteworthy, Leuz and Verrechia have examined the accounting choices of German companies listed on the DAX index for the year CULTi: culture is a dummy variable that takes the value 1 if the country has an Anglo-Saxon culture and 0 otherwise.
The International Journal of Accounting, 30 3 He justifies his view by the fact that if a country has a low level of political freedom, citizens will be unable to choose members of the government owing to the lack of democracy.
This reaction resulted in the introduction of a set of reforms, governance practices and financial communication, among which is the adoption of IFRS. Arpan and Radebaugh have considered that economic development is indeed the fundamental variable that deeply influences the development of accounting seeing that it affects other functions in society.
At a second stage, the following logistic model is to be estimated.
These pressures are reflected in the volume of economic affairs.
based on 89 review