The Development of Financial Reporting and Auditing Standards throughout the World: Importance of Institutions

Dr. Elene Kharabadze and Ioseb Mamukelashvili
Additional contact information
Dr. Elene Kharabadze: Tbilisi State University, Gorgia

Journal of Business & Management (COES&RJ-JBM), 2016, vol. 4, issue 3, 130-139

Abstract: We have studied factors that promote the development of financial reporting and auditing standards worldwide and in Georgia. More specifically, similarly to W. Gao’s and F. Zhu’s approach, we have examined the importance of institutional factors in the development of countries’ financial reporting and auditing standards. Our tests indicated that the institutional variables are crucial to the development of the financial reporting and auditing standards. Namely, the most important factor in the development of financial reporting and auditing standards proved to be the protection of minority shareholders’ interest, which also played an important role in the development of securities exchanges. Furthermore, we concluded that the soundness of banks was of medium level importance in the development of financial reporting and auditing standards. We have also found that countries’ educational system, more specifically the relationship between educational institutions and private sector, were crucial in the above-mentioned development process.

Keywords: Financial reporting; auditing; institutional development; education (search for similar items in EconPapers)
Date: 2016
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://centreofexcellence.net/J/JBM/Vol4/No3/Article2,pp130-139.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:jso:coejbm:v:4:y:2016:i:3:p:130-139

Access Statistics for this article

Journal of Business & Management (COES&RJ-JBM) is currently edited by Dr. Bashar Malkawi (Editor-in-Chief), Moiz Haider Shamsi and Dr. Ephraim Okoro (Associate Editor)

More articles in Journal of Business & Management (COES&RJ-JBM)
Bibliographic data for series maintained by COES&RJ LLC. Maintainer-Workplace-Name: Centre of Excellence for Scientific & Research Journalism - COES&RJ LLC Maintainer-Address: 10685-B Hazelhurst Dr., Houston, TX 77043, USA () and ().