Determinants of the Strength of Auditing and Reporting Standards: a Cross-Country Study

Determinants of the Strength of Auditing and Reporting Standards: a Cross-Country Study

Pran Krishansing Boolaky, Chandrasekhar Krishnamurti, Ariful Hoque

Our study addresses the research gap regarding the absence of an empirical cross-country study on thedeterminants of the strength of auditing and reporting standards (SARS). Using data on 133 countries atvarious stages of development, we examine the role of environmental factors that influence a country’sstrength of auditing and reporting standards. Our empirical results confirm that institutional infrastructure,financial market development and higher education and training jointly influence a country’s strength ofauditing and reporting standards. We obtain qualitatively similar subsample results when we partitioncountries on the basis of economic development.

2013

auditing, reporting standards, development, global

DOI: http://dx.doi.org/10.14453/aabfj.v7i4.3

Australasian Accounting, Business and Finance Journal

University of Wollongong

Business

EN