Boolaky, PK and Soobaroyen, T (2017) Adoption of International Standards on Auditing (ISA): Do Institutional Factors Matter? International Journal of Auditing, 21 (1). pp. 59-81. DOI https://doi.org/10.1111/ijau.12081
Boolaky, PK and Soobaroyen, T (2017) Adoption of International Standards on Auditing (ISA): Do Institutional Factors Matter? International Journal of Auditing, 21 (1). pp. 59-81. DOI https://doi.org/10.1111/ijau.12081
Boolaky, PK and Soobaroyen, T (2017) Adoption of International Standards on Auditing (ISA): Do Institutional Factors Matter? International Journal of Auditing, 21 (1). pp. 59-81. DOI https://doi.org/10.1111/ijau.12081
Abstract
Informed by the neo-institutional perspective, this study seeks for the first time to investigate empirically the determinants of ISA adoption and commitment to harmonisation on a cross-national basis (89 countries). The findings show that the protection of minority interests, regulatory enforcement, lenders/borrowers rights, foreign aid, prevalence of foreign ownership, educational attainment and particular forms of political system (level of democracy) prevailing in a country, are observed to be significant predictors of the extent of commitment to the adoption and harmonisation of ISAs. Our statistical analysis therefore suggests that coercive, mimetic and normative pressure have a significant impact on ISA adoption relative to economic (efficiency-led) factors. Our findings imply that current efforts by the International Federation of Accountants (IFAC) and other international agencies to implement ISAs need to recognise that a broad set of institutional factors, rather than narrow economic ones, are of relevance in the development of audit policymaking, practice and regulation worldwide.
Item Type: | Article |
---|---|
Uncontrolled Keywords: | International Standards on Auditing; neo-institutional theory; accounting |
Subjects: | H Social Sciences > HF Commerce > HF5601 Accounting |
Divisions: | Faculty of Social Sciences Faculty of Social Sciences > Essex Business School |
SWORD Depositor: | Unnamed user with email elements@essex.ac.uk |
Depositing User: | Unnamed user with email elements@essex.ac.uk |
Date Deposited: | 03 Nov 2016 16:23 |
Last Modified: | 30 Oct 2024 16:21 |
URI: | http://repository.essex.ac.uk/id/eprint/17868 |
Available files
Filename: ijau paper 2016.pdf