Hi all,
We hope that you can join us for the Applied Statistics Workshop this
Wednesday, November 3rd when we will be happy to have Karthik Ramanna
at the Harvard Business School. Karthik will give a talk entitled
"Network effects in countries' adoption of International Financial
Reporting Standards." You will find an abstract and a link to the
paper below. As always, we will serve a light lunch (sandwiches) and
the talk will begin around 12:15p.
"Network effects in countries' adoption of International Financial
Reporting Standards"
Karthik Ramanna
Harvard Business School
CGIS K354 (1737 Cambridge St.)
Wednesday, November 3rd, 12 noon
Abstract:
If a country’s accounting standards represent a political-economic
equilibrium, why is that equilibrium for some countries shifting over
time in favor of International Financial Reporting Standards (IFRS)?
We develop and test the hypothesis that perceived network benefits
from the extant worldwide adoption of IFRS influences a country’s
shift away from local accounting standards. That is, as more
jurisdictions with economic ties to a given country adopt IFRS,
perceived benefits from lowering transactions costs to foreign
financial-statement users come to outweigh institutional differences
(e.g., auditing technology) that make IFRS adoption costly. We find
that perceived network benefits increase the degree of IFRS
harmonization among countries, although larger countries and countries
less dependent on foreign trade have a differentially lower response
to these perceived benefits.
Paper:
http://www.iq.harvard.edu/events/sites/iq.harvard.edu.events/files/SSRN-id1…
Cheers,
matt.
~~~~~~~~~~~
Matthew Blackwell
PhD Candidate
Institute for Quantitative Social Science
Department of Government
Harvard University
url:
http://people.fas.harvard.edu/~blackwel/