Reviewed by Stephen J. Young Case Western Reserve University
The book, Modem Accounting Research: History, Survey and Guide, by Richard Mattessich, contains a broad survey of academic accounting literature. Thus, it provides a valuable collection of material for those wishing to review the development of recent accounting thought.
The book is divided into six major parts. Each contains an introduction by Mattessich and several articles addressing a major field of accounting research. The work also includes an index of the names of accounting academics.
The first two sections of the book deal with the development of theories and methodology in accounting research. The first part is a general introduction to the field of accounting research. It consists of an article discussing the “Scientific Approach to Accounting” written by Mattessich himself.
The second section considers concepts of theory construction and the roots of accounting thought. It addresses the concepts of Thomas Kuhn1 on scientific revolutions and the period in which his thought influenced social sciences, including accountancy. The section also looks at the relationships of accountancy to economics and finance, and the socioeconomic consequences of standard setting.
After these Introductory sections, the last four sections each address a major field of continuing research in accountancy.
‘Thomas S. Kuhn, The Structure of Scientific Revolutions, International Encyclopedia of Unified Science, 2nd enlarged edition (University of Chicago Press), 1970.
The third section deals with the controversy between positive and normative research and contains several papers discussing or using the positive accounting methodology. The section is closed with two papers addressing public choice and economic interest in the standardsetting process.
The fourth section deals with the subjects of agency and information economics. In order to assist the reader in understanding the influence of this literature, there are several surveytype papers that cover the fundamentals of this subject area.
The fifth part of the book deals with the empirical/statistical literature in accounting. It is composed of four papers dealing with a broad array of topics ranging from market studies to behavioral accounting research.
The final section deals with “other” issues. This omnibus section contains papers on managerial accounting, auditing, and nonbusiness (e.g., a survey paper written by William Vatter) accounting.
Appended to the book is a comprehensive index of North American accounting academics (as of 1984). This is an invaluable, although somewhat dated, addition to the book.
There are at least two principal concerns about the monograph. First, one can argue that “depth” has been sacrificed for “breadth.” The work does attempt to cover a wide range of research topics at the cost of “depth.” Many of the papers are surveys, and therefore brush over major contributions. For example, seminal articles such as Jenson and Meckling [1976] in agency research and Ball and Brown [1969] in market studies are not included. Much of the spirit of subsequent research in these areas cannot be fully appreciated without reading such works.
The second principal concern, not inherent in the work but caused by the timing of this review, is the date of the monograph. A great deal of work has been done in academic accounting since 1984. Empirical studies have developed into two massive branches: market studies and behavioral research. These fields were far less developed eight years ago. Agency research and the application of information economics to accounting has also blossomed beyond any level conceived of in 1984.
Fortunately, a second monograph by Mattessich, intended to be a supplement to this comprehensive 1984 effort, is now available [Mattessich, 1991].
Tradeoffs in content are necessary, but no major issue in accountancy is unattended. Regarding the second criticism, all books become outdated. Time is never particularly kind to authors, but the 1984 monograph has aged remarkably well. Many of its topics form the foundations of accounting research today, and therefore this work remains a useful item in a scholar’s library.
This publication’s greatest value is as a “survey and guide” to contemporary academic accountancy research. It therefore meets its promised “mission”. It also provides a base for further inquiry, and the index of authors is most helpful. I recommend the work both as a reader for an advanced accountancy theory course or for practitioners who want to understanding the academic side of accounting.
REFERENCES
Ball, R. and Brown, P., “An Empirical Evaluation of Accounting Income Numbers,” Journal of Accounting Research (Autumn 1968).
Jenson, M. and Meckling, W., “The Theory of the Firm: Managerial Behavior, Agency Costs, and Ownership Structure,” Journal of Financial Economics (October 1976).
Mattessich, R., Accounting Research in the 1980s and its Future Relevance, Monograph #17, The Canadian Certified General Accountants’ Research Foundation (1991).
