The Complex Equilibrium Paths towards International Financial Reporting Standards (IFRS) and the Anglo-American Model: The Case of Japan

Noriyuki Tsunogaya and Parmod Chand
Additional contact information
Noriyuki Tsunogaya: Department of International Economy and Business, Kyushu University, Japan
Parmod Chand: Department of Accounting and Corporate Governance, Macquarie University, Australia

The Japanese Accounting Review, 2012, vol. 2, 117-137

Abstract: We adopt the accounting ecology framework of Gernon and Wallace (1995) to investigate the unique Japanese process of accounting reforms and convergence. The uniqueness of the Japanese accounting framework is primarily the result of the integration of the Japanese traditional accounting system and its surrounding infrastructures with International Financial Reporting Standards (IFRS), the Anglo-American model, and the liberal market economies (LMEs). The objective of this study is to demonstrate that accounting as the language of business is deeply embedded in the historical, legal, business and economic environments of each country and that these contextual factors cannot be ignored in the process of significant accounting reforms, including accounting convergence. The paper provides evidence that even in the process of global accounting convergence countries are not achieving de facto convergence because optimal mechanisms of the accounting system and its surrounding infrastructures are contextual and embedded in the accounting ecology of each country.

Keywords: Global Convergence of Financial Reporting; International Financial Reporting Standards (IFRS); Japanese Accounting System (search for similar items in EconPapers)
JEL-codes: M40 M41 M48 (search for similar items in EconPapers)
Date: 2012
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://www.rieb.kobe-u.ac.jp/tjar/article/vol2/pdf/6.Tsunogaya_and_Chand.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:kob:tjrevi:dec2012:v:2:p:117-137

Access Statistics for this article

The Japanese Accounting Review is currently edited by Hidetoshi Yamaji

More articles in The Japanese Accounting Review from Research Institute for Economics & Business Administration, Kobe University Contact information at EDIRC.
Bibliographic data for series maintained by TJAR Editorial Office ().