A theory of European accounting development applied to accounting change in contemporary Poland

Abstract

The paper presents a theory for understanding the diversity of European accounting in market economies by reference to socio-economic factors within an historical context. The theory is developed with reference to two ideal types, based upon the experiences of Britain and Germany. The theory is then used to illuminate the process of accounting transformation in the transitional Polish economy. As a result of the application of the theory in this national context, the paper concludes that accounting policy makers in Central and Eastern Europe will be constrained in their choices of appropriate accounting principles, policies and institutions from the diversity of models available in the market economies of Western Europe. The inference from this conclusion is that the frequently expressed fears concerning the adoption of inappropriate accounting models by emerging market economies may have been exaggerated.

Government accounting development within a transitional economy ‐ Albania a case study

“…The implications of the former system were similar to those identified by Krzywda et al (1995) in relation to Poland -that is accounting was perceived simply as a tool in exercising control. Within such a system, the role of the 'accountant' was that of a technician with corresponding low skill requirements and low esteem.…”

The development of accounting regulations for foreign invested firms in China: The role of Chinese characteristics

“…This study differs from research on accounting change in transitional economies such as the Czech Republic (Seal et al, 1995); Poland (Krzywda et al, 1995); and Vietnam (Phuong and Richard, 2011). While these studies provide timely updates of current developments in accounting regulations, they present accounting change as purely technical and unproblematic, with little attention accorded to the impact of cultural and political issues.…”

Emerging Markets: Preferences, R isks, Performance...

“…Goldstein and Turner (1996) and Goldstein (1997) discuss this problem, and recommend steps to be taken to improve accounting standards and ensure effective disclosure requirements practices, especially in financial institutions. Analysis of accounting changes in transitional economies (see: Krzywda et al, 1995) has pointed out that accounting reform can be internally and externally driven, where international investors press for changes that secure their interests and domestic supervisors require better disclosure requirements to ensure that they can do their job well.…”