IDEAS home Printed from https://ideas.repec.org/a/bpj/aelcon/v1y2011i1n1.html

A Note on Accounting and Economic Theory: Past, Present, and Future

Author

Listed:
  • Shubik Martin

    (Yale University)

Abstract

This paper deals with the changing relationship between economic theory and accounting practice and theory. It argues that many of the basic problems encountered in practice cannot be avoided in any attempt to construct an economic theory adequate to handle dynamics. In particular problems of timing become critical. Furthermore, there are several critical problems concerning profit maximization, the nature of the rate of interest, agency problems within the firm and the payment of dividends which cannot be dealt with unless there is an adequate reconciliation of accounting and economic theory. Summary includes: history of accounting and economic theory; types and purpose of accounting; information, valuation and control; open problems in economic theory and accounting; a brief glance at the crystal ball; accounting, economics and organization.

Suggested Citation

  • Shubik Martin, 2011. "A Note on Accounting and Economic Theory: Past, Present, and Future," Accounting, Economics, and Law: A Convivium, De Gruyter, vol. 1(1), pages 1-26, January.
    • Handle: RePEc:bpj:aelcon:v:1:y:2011:i:1:n:1
    DOI: 10.2202/2152-2820.1012
    as

    Download full text from publisher

    File URL: https://doi.org/10.2202/2152-2820.1012
    Download Restriction: For access to full text, subscription to the journal or payment for the individual article is required.
    File URL: https://libkey.io/10.2202/2152-2820.1012?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to

    for a different version of it.

    References listed on IDEAS

    as
    1. Ioannis Karatzas & Martin Shubik & William D. Sudderth & John Geanakoplos, 2001. "Inflationary Bias in a Simple Stochastic Economy," Working Papers 01-09-054, Santa Fe Institute.
    2. Yuri Biondi & Arnaldo Canziani & Thierry Kirat, 2007. "The Firm as an Entity: Implications for Economics, Accounting, and the Law," Post-Print halshs-00203355, HAL.
    3. Ross, Stephen A, 1973. "The Economic Theory of Agency: The Principal's Problem," American Economic Review, American Economic Association, vol. 63(2), pages 134-139, May.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. E. Grifell-Tatjé & C. Lovell, 2014. "Productivity, price recovery, capacity constraints and their financial consequences," Journal of Productivity Analysis, Springer, vol. 41(1), pages 3-17, February.
    2. Tiago Cardao-Pito, 2021. "An embezzler test for norms, standards and regulations," Journal of Financial Crime, Emerald Group Publishing Limited, vol. 29(3), pages 878-889, August.
    3. Yuri Biondi & Feng Zhou, 2019. "Interbank credit and the money manufacturing process: a systemic perspective on financial stability," Journal of Economic Interaction and Coordination, Springer;Society for Economic Science with Heterogeneous Interacting Agents, vol. 14(3), pages 437-468, September.
    4. Biondi Yuri, 2018. "Banking, Money and Credit: A Systemic Perspective," Accounting, Economics, and Law: A Convivium, De Gruyter, vol. 8(2), pages 1-26, July.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Jagjeevan Kanoujiya & Rebecca Abraham & Shailesh Rastogi & Venkata Mrudula Bhimavarapu, 2023. "Transparency and Disclosure and Financial Distress of Non-Financial Firms in India under Competition: Investors’ Perspective," JRFM, MDPI, vol. 16(4), pages 1-20, March.
    2. Vanessa Carvalho Pereira & Antonio Gualberto Pereira & José Sérgio Casé Oliveira, 2023. "Influence of ownership structure on the choice of Big Four independent auditors," International Journal of Disclosure and Governance, Palgrave Macmillan, vol. 20(3), pages 316-326, September.
    3. Karbowski, Adam, 2009. "The corporate governance implications for China," MPRA Paper 73625, University Library of Munich, Germany.
    4. Kirathimo Muruga & Tatjana Vasiljeva, 2021. "Physicians' Dual Practice: A Theoretical Approach," Central European Business Review, Prague University of Economics and Business, vol. 2021(5), pages 1-20.
    5. Adi Masli & Matthew G. Sherwood & Rajendra P. Srivastava, 2018. "Attributes and Structure of an Effective Board of Directors: A Theoretical Investigation," Abacus, Accounting Foundation, University of Sydney, vol. 54(4), pages 485-523, December.
    6. Ernest Dautovic, 2019. "Has Regulatory Capital Made Banks Safer? Skin in the Game vs Moral Hazard," Cahiers de Recherches Economiques du Département d'économie 19.03, Université de Lausanne, Faculté des HEC, Département d’économie.
    7. Chen, Xuchang & Wu, Changqi & Xie, Xuanli, 2025. "Foreign ownership and corporate litigation risk," Journal of Business Research, Elsevier, vol. 189(C).
    8. Xin Qu & Majella Percy & Fang Hu & Jenny Stewart, 2022. "Can CEO equity‐based compensation limit investment‐related agency problems?," Accounting and Finance, Accounting and Finance Association of Australia and New Zealand, vol. 62(2), pages 2579-2614, June.
    9. Louis John Velthuis, 2007. "Effiziente Kapitalallokation in der Banksteuerung," Schmalenbach Journal of Business Research, Springer, vol. 59(57), pages 184-210, January.
    10. Fikayo Akeredolu, 2026. "Principal–Agent Theory and Results-Based Climate Finance: A Review of Lessons from the World Bank's Initiative for Sustainable Forest Landscapes," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 10(2), pages 8018-8027, February.
    11. Usman, Ojonugwa & Uwadiegwu, Ihedioha O. & Olorunmolu, Joseph O., 2015. "Debt Financing and Post-Privatization Performance of Firms: The Case of Nigerian Listed Firms," MPRA Paper 74921, University Library of Munich, Germany, revised Jul 2016.
    12. Zhaohui Yan & Mingli Wang & Yumeng Sun & Zihui Nan, 2023. "The Impact of Research and Development Investment on Total Factor Productivity of Animal Husbandry Enterprises: Evidence from Listed Companies in China," Agriculture, MDPI, vol. 13(9), pages 1-21, September.
    13. Obregon, Carlos, 2020. "Beyond Quantitative Easing (Towards a New Monetary Theory)," MPRA Paper 122449, University Library of Munich, Germany.
    14. Vandana Madhavan & Murale Venugopalan & Bhumika Gupta & Gyanendra Singh Sisodia, 2023. "Addressing Agency Problem in Employee Training: The Role of Goal Congruence," Sustainability, MDPI, vol. 15(4), pages 1-27, February.
    15. Patrick Velte, 2025. "Audit Quality and Materiality Disclosure Quality in Integrated Reporting: The Moderating Effect of Carbon Assurance Quality," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 32(3), pages 3785-3801, May.
    16. Hau Lee & Seungjin Whang, 1999. "Decentralized Multi-Echelon Supply Chains: Incentives and Information," Management Science, INFORMS, vol. 45(5), pages 633-640, May.
    17. Mark DeWeaver & James Roumasset, 2002. "Risk aversion as effort incentive: A correction and prima facie test of the moral hazard theory of share tenancy," Economics Bulletin, AccessEcon, vol. 15(4), pages 1-16.
    18. Robert E. Till & Mary Beth Yount, 2019. "Governance and Incentives: Is It Really All about the Money?," Journal of Business Ethics, Springer, vol. 159(3), pages 605-618, October.
    19. Dimitrios Karakostas & Ioannis Tsakalos & Athanasios Fassas & Dimitris Kenourgios, 2026. "The disciplinary effect of banking supervision: is the EU-wide 2023 stress test merely a supervisory formality?," Journal of Banking Regulation, Palgrave Macmillan, vol. 27(1), pages 1-11, March.
    20. Kok, Seng Kiong & Shahgholian, Azar, 2023. "The impact of proximity within elite corporate networks on the Shariah governance-firm performance nexus: Evidence from the global Shariah elite," Emerging Markets Review, Elsevier, vol. 54(C).

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bpj:aelcon:v:1:y:2011:i:1:n:1. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Peter Golla (email available below). General contact details of provider: https://www.degruyterbrill.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.