Accounting and Globalization
WHY ACCOUNTING IS CHANGING
Since leading companies have …show more content…
One such voice, the Organization for Economic Co-operation and Development (OECD), helps international governments tackle the economic, social, and governance challenges of a globalized economy (Graham & Neu, 2003). The OECD places governments under scrutiny, and examines such performance indicators as aging and related pension issues, employment, growth, money laundering, taxation, and transportation (Gebhardt, 2000). Secondly, the OECD's peer review process uses performance measurements both to observe and to direct government performance (Hill, 2002). Internet information, its funding largely provided by the U.S. Department of Defense in the 1970's and 1980's, for the development of advanced communications networks linking the U.S. militaries and universities, is shaped by accounting in the development of informational technical infrastructure (Graham & Neu, 2003). Other agencies that have helped fund Internet communication (The National Science Foundation and the Advanced Research Projects Agency) have relied on accounting technologies to balance technical and economic goals (Graham & Neu, 2003).
FLOWS OF POLICIES To regulate foreign policies, accounting practices are often imposed on distant sites. Through the terms of lending conditionalities, the receiving country is coerced, albeit co-operatively, to adopt mainstream neo-liberal financial policies (Gebhardt, 2000). Such was the case of