The Case For A Political Economy Of Accounting: A Critique Of The Arguments

Book English OPEN
Woodward, D. ; Woodward, Therese (2000)
  • Publisher: Bournemouth University School of Finance and Law
  • Subject: ffe | ec

The paper is oriented towards concern with the way in which the concept of political economy has been ?adopted? by academic accountants. However, a number of issues relating to the underlying concept require first to be debated if the main topic is to be viewed in context.\ud Regarding accountants’ use of the political economy concept, one thread that certainly may be\ud identified is that which looks upon the subject as providing rationale for an approach\ud suggesting that developments in the accounting arena can only be fully appreciated if the\ud societal implications of such developments are properly understood. But there is another\ud interpretation, which conceives of political economy as providing an alternative explanation\ud of companies’ information disclosures to their stakeholders to that provided by an\ud organisational legitimacy stance. According to this view, corporate social reporting becomes a\ud far more proactive activity, with corporate executives pursuing their own self-interest and\ud through selective information disclosures attempting to set the agenda for debate.\ud The present paper indicates how both approaches fall short of demonstrating all the necessary\ud features of a ‘true’ political economy approach, and attempts to reconcile the radically\ud differing interpretations of political economy proffered, by suggesting they both stem largely\ud from the use of the expression “political economy of accounting” more or less as a ‘slogan’,\ud without much of an attempt having been made to justify its adoption.
  • References (12)
    12 references, page 1 of 2

    Abrahamson, E. and Park, C. (1994), 'Concealment of negative organizational outcomes: an agency theory perspective', Academy of Management Journal, Vol. 27, No. 5, pp 1302-34.

    Groenewegen, P.D. (1985), 'Professor Arndt on political economy: a comment', Economic Record, Vol. 61, December, pp. 744-51.

    Guthrie, J. and Parker, L.D. (1989), 'Corporate social disclosure: a rebuttal of legitimacy theory', Accounting and Business Research, Vol.19, No.76, pp. 343-352.

    Senior, N.W. (1860), 'Statistical Science', in Essays in Economic Method, R.L. Smyth (Ed), Duckworth: London 1962.

    Senior, N.W. (1836), An Outline of the Science of Political Economy, Unwin Library of Economics: London 1938.

    Shocker, A.D. and Sethi, S.P. (1974), 'An approach to incorporating social preferences in developing corporate action strategies', in S.P. Sethi (Ed), The Unstable Ground: Corporate Social Policy in a Dynamic Society, Melville: CA.

    Sidgwick, H. (1883), Principles of Political Economy, Macmillan: London.

    Sidgwick, H. (1885), 'The scope and method of economic science', in Essays in Economic Method, R.L. Smyth (Ed), Duckworth: London 1962.

    Smith, A. (1763), Lectures on Jurisprudence, R.L. Meek, D.D. Raphael and P.G. Stein (Eds), Oxford University Press: Oxford 1978.

    Smith, A. (1776), An Inquiry into the Nature and Causes of the Wealth of Nations, R.H.

  • Metrics
    0
    views in OpenAIRE
    0
    views in local repository
    58
    downloads in local repository

    The information is available from the following content providers:

    From Number Of Views Number Of Downloads
    Bournemouth University Research Online - IRUS-UK 0 58
Share - Bookmark