• Selected
• Entire List

Abstract:
International Financial Reporting Standards (IFRS) and their predecessor, International Accounting Standards (IAS) are gaining in worldwide recognition. All publicly traded companies in the EU must adopt them by 2005 and many other countries either have adopted them or plan to do so in the near future. In 2002, the Russian Prime Minister announced that all Russian companies and banks must prepare their financial statements in accordance with international standards starting January 1, 2004. Implementing that decision will not be easy, for a variety of reasons. Not all international standards have been translated into Russian. Many Russian accountants are not sufficiently familiar with international standards to implement them. Some Russian universities have only recently started teaching international standards and the continuing education programs of the various Russian accounting associations are not yet prepared to offer comprehensive courses on international standards. Current Russian accounting standards conflict with international standards in several important ways and these conflicts will not be resolved in the near future.

This paper reviews the literature on this subject and incorporates the results of interviews conducted of Russian accounting firms, enterprises and university professors in July and August 2003.

International Accounting Standards, IAS, International Financial Reporting Standards, IFRS, transition economy, Russia, accounting, accounting education, corporate governance, foreign direct investment, FDI

Abstract:
A few years ago the Roman Catholic Church issued a revised catechism that categorizes tax evasion as a sin. Part I of this article explores the arguments that could be used to support the view that tax evasion is a sin, or is unethical. Part II presents arguments to support the position that there is nothing sinful or ethically wrong with tax evasion. The article concludes that the arguments offered to support the view that tax evasion is sinful or unethical do not hold up under analysis, and suggests that it is the tax collectors who might be guilty of sin, since they participate in the taking of property without the owner's consent.

tax evasion, ethical

Abstract:
Insider trading has received a bad name in recent decades. The popular press makes it sound like an evil practice where those who engage in it are totally devoid of ethical principles. Yet not all insider trading is illegal and some studies have concluded that certain kinds of insider trading are actually beneficial to the greater investment community. Some scholars in philosophy, law and economics have disputed whether insider trading should be punished at all while others assert that it should be illegal in all cases. Appeals often tend to be based on emotion rather than logic and academic analysis. This paper reviews the literature on insider trading and applies utilitarian ethics and rights theory to some recent case studies of insider trading in an attempt to determine which forms of insider trading are ethically acceptable.

Ethics, Insider Trading, Martha Stewart, corporate governance, utilitarianism, welfare

Abstract:
The merger mania of the 1980s put top corporate management on the defensive as predators sought takeover targets. Hostile takeover activity has dissipated in recent years, for a variety of reasons, but the ethical issues surrounding acquisitions and mergers and the ethically questionable conduct that is often involved remain as relevant as ever. Most ethical discussions of acquisitions and mergers focus on the ethical conduct of the predator. The ethical conduct of the target company's top management is often overlooked. This paper reviews the ethical literature on hostile takeovers and applies ethical theory to some of the defensive tactics that have been used to thwart unwanted takeovers. The focus will be on the fiduciary duties of top management and ethical issues involved with poison pills, greenmail, golden parachutes and other defensive tactics. Both utilitarian and nonutilitarian approaches will be used as tools of analysis.

ethics, acquisitions, mergers, poison pill, greenmail, golden parachute, utilitarianism, welfare

Abstract:
This paper presents a brief discussion of the problems involved in implementing International Accounting Standards in Armenia. The process and problems encountered in Armenia are similar to those that will be encountered in other CIS republics as they attempt to adopt and implement International Accounting Standards.

International Accounting Standards; Accounting; CIS; Armenia; Transition economy

Abstract:
The People's Republic of China has been the number one target of antidumping actions filed by the U.S. Commerce Department on behalf of various domestic industries. One reason for this special status is because the PRC is one of the world's lowest cost producers. Because of the cost structure of its industries and economy, as well as the fact that it tends to manufacture products at the low end of the quality scale, it is able to sell a wide range of products for lower prices than most competitors. Furthermore, because it is classified as a nonmarket economy, special rules must be used to determine the cost of production. It is unlikely that the frequency of antidumping actions will decline in the near future. Indeed, because the antidumping laws are becoming more widespread as a result of their adoption by every country that became a member of the World Trade Organization, it is likely that the number of antidumping actions filed against the PRC will increase in the years to come.

Abstract:
Corporate governance issues are especially important in transition economies, since these countries do not have the long-established financial institution infrastructure to deal with corporate governance issues. Before the fall of the Berlin Wall and the collapse of the Soviet Union, there was no need to discuss corporate governance issues because all enterprises were owned by the state and there were no shareholders. All that has changed since 1989. This paper discusses how transition economies are dealing with corporate governance issues and the extra obstacles they have to overcome due to a lack of established financial institution infrastructure. Several case studies from Eastern Europe are examined.

corporate governance, transition economies, Russia, Eastern Europe, CIS, NIS

Abstract:
More than 100 countries are competing for foreign direct investment. One of the factors that adversely affects the ability to attract foreign capital is the lack of credibility of reported financial information. This barrier is especially prevalent in transition economies, since they have not developed the financial reporting infrastructure that developed countries already enjoy. Adopting International Accounting Standards (IAS) is seen as one way to overcome this barrier and many transition economies are adopting or have already adopted IAS as a means of giving credibility to corporate financial statements. All of the former Soviet republics have made some attempt to have their enterprises convert to IAS. Some have been more successful than others, for a variety of reasons. This paper focuses on Russia's attempt to adopt IAS and the problems Russian firms face with the adoption and implementation of IAS.

Abstract:
Corporate governance has received an increasing amount of attention in recent years. Corporate scandals have brought corporate governance weaknesses to the attention of the general public, especially in the United States. Weaknesses in the corporate structure of some Asian countries have been partly blamed for some recessions that have occurred there.

This paper begins with an overview of some basic corporate governance principles as identified by the OECD, World Bank and IMF, then proceeds to examine how these principles are being applied in selected Asian countries.

corporate governance, Asia, ROSC, shareholder rights, minority shareholders, corporate control, disclosure, accounting standards, audit standards, OECD, India, Indonesia, Korea, Malaysia, Pakistan, Philippines, Thailand, Vietnam, transparency, World Bank, disclosure, corporate control

Abstract:
In 1944, Martin Crowe, a Catholic priest, wrote a doctoral dissertation titled The Moral Obligation of Paying Just Taxes. His dissertation summarized and analyzed 500 years of theological and philosophical debate on this topic, much of which took place in Latin. Since Crowe's dissertation, not much has been written on the topic of tax evasion from an ethical perspective, with a few exceptions. In 1998 and 1999, a few articles were published on the ethics of tax evasion in the Journal of Accounting, Ethics & Public Policy. An edited book on this topic was published in 1998.

The present paper summarizes, updates and expands on Crowe's work. Recent literature is reviewed and the issues discussed in the last 500 years of theological and philosophical debate are incorporated into an 18-statement survey, which was distributed to members of the Academy of International Business (AIB), the International Management Development Association (IMDA) and the International Academy of Business Disciplines (IABD). These three groups were chosen to be the sample population because members of these groups are knowledgeable about international business practices and they come from a wide variety of backgrounds. They are more cosmopolitan in outlook than the average U.S. business school professor. A large percentage of the membership of these groups have lived in more than one country and many of them were born in a country other than the United States, which reduces the U.S. bias that would result if the sample population consisted of a random sample of American business school professors. A fair percentage of the membership of these organizations presently lives outside the United States.

Three basic views on the ethics of tax evasion have emerged over the centuries. The statements in the survey instrument incorporate all three views, which give respondents an opportunity to express their opinion regardless of which of the three positions they come closest to. Most statements begin with the phrase Tax evasion is not unethical if . . . , which allows the respondents to either agree or disagree with the statement. Each question is graded on a 7-point Likert scale. The responses to each question were tallied and ranked to determine under which circumstances tax evasion might be considered most or least ethical.

tax evasion, ethics, Academy of International Business, AIB, International Management Development Association, IMDA, IABD, International Academy of Business Disciplines

Abstract:
Outsourcing is an efficient way to reduce a company's costs and is often necessary to remain competitive. However, the practice has had its critics. This paper summarizes the outsourcing debate that has been going on in the United States and identifies and discusses some ethical issues that relate to the practice.

Outsourcing, ethics, international trade, protectionism, contracting out

Abstract:
Corporate governance has received an increasing amount of attention in recent years. Corporate scandals have brought corporate governance weaknesses to the attention of the general public, especially in the United States. But corporate governance is sometimes a problem in other countries as well. This paper begins with an overview of some basic corporate governance principles as identified by the OECD, World Bank and IMF, then proceeds to examine how these principles are being applied in selected Asian countries.

corporate governance, Asia, ROSC, shareholder rights, minority shareholders, corporate control, disclosure, accounting standards, audit standards, OECD, India, Indonesia, Korea, Malaysia, Pakistan, Philippines, Thailand, Vietnam, transparency, World Bank

Abstract:
This article is divided into four sections. The first section is on the philosophy of protectionism and reviews several of the most commonly given reasons that have been used to justify protectionism over the past few hundred years. The author points out that these arguments generally support the producer's position, often to the detriment of consumers and the general public. Each argument is analyzed empirically and logically. The general conclusion is that the case against protectionism and in favor of free trade is strong from both an economic and liberal democratic perspective.

Part two takes a look at the cost of protectionism, with emphasis on the case in the USA. The auto, steel, textile and agricultural industries are given special attention. Some nonmonetary costs often overlooked or ignored by many commentators are also discussed. These costs include the net deadweight employment loss, social harmony costs, reduced choice and the violation of rights that is inherent whenever consenting adults cannot trade.

Part three examines antidumping policy in the USA from both a theoretical and practical viewpoint. After a review of the economic and legal background of the antidumping laws and a look at how they are administered, the author proceeds to examine the many problems inherent in the present policies, such as the many computational problems, the harmful effects of antidumping policy and the weakness of the predatory pricing argument. The section concludes with a discussion of the philosophy of antidumping policy and examines issues such as the ethics of using the law to batter the competition, the irrationality of antidumping as a policy, a rights approach to antidumping and the relationship between antidumping laws and the legitimate functions of government.

Part four discusses the implications of United States protectionism for international trade in Europe. The author examines the options for trade policy in Europe, with emphasis on emerging market economies, from both the rights and utilitarian perspectives. The author concludes that, while total and immediate free trade is the best policy, policymakers may find it necessary, for practical reasons, to adopt a gradualist approach that involves temporary protection. Of the two options examined -- infant industry protection and unemployment payments -- the unemployment payment approach is the more efficient.

Abstract:
Corporate governance has become a popular topic in recent years. Although much attention has been given to corporate governance in the United States and other Western countries as a result of recent scandals, and in Japan and other East Asian countries because of the financial crisis that occurred there a few years ago, much has also been going on in Russia and other transition economies in the area of corporate governance. This paper discusses recent developments in corporate governance in Russia and includes information gathered during interviews conducted in Russia during the summer of 2003.

corporate governance, transition economy, Russia, foreign direct investment, FDI, International Accounting Standards, IAS, International Financial Reporting Standards, IFRS

Abstract:
This paper takes the position that trade deficits are irrelevant from a policy perspective and that any attempt to reduce them is counterproductive and violative of individual rights. Hardly a day goes by that the media do not mention some international trade problem such as the trade deficit. The general tenor of the story is usually that trade deficits are bad for the U.S. national economy, with the implied or express conclusion that something should be done to reduce them. The choice of terms used to describe trade -- voluntary exchange -- makes it sound like trading with foreigners results in disaster: we are being "invaded" with foreign goods; foreign goods are "flooding" the market; foreigners are "dumping" their products. Senator Donald Reigle has been quoted as saying: "The continuing Japanese attack on our basic industries is another Pearl Harbor. The time has come to close America's door to the flood of Japanese imported products."(Ekelund and Tollison, 875)

Abstract:
Outsourcing has been criticized as a practice that destroys jobs and praised as a way to cut costs and remain competitive. The accounting profession has utilized outsourcing to avail itself of expertise that is not available within the firm and to cut the cost of offering a variety of accounting and tax services. The practice has raised some ethical questions about integrity, objectivity, disclosure and client confidentiality. The AICPA Professional Ethics Executive Committee has issued two new ethics rulings and revised a third ethics ruling to address these issues. The new rules take effect July 1, 2005. This paper discusses these rulings and the effect they will have on accounting practices

Outsourcing, contracting out, accounting services, tax services, ethics

Abstract:
There is an on-going debate about tax competition or tax harmonization. The high-tax welfare states want to keep tax rates high so that they can continue to fund their social welfare programs. But they are losing business and investments to lower tax jurisdictions where governments let people and businesses keep a higher percentage of their income. This issue is especially relevant in the European Union, since the older members tend to have relatively high tax rates, whereas some of the new members have relatively low tax rates. This paper examines this issue and attempts to answer the question of whether tax competition is harmful.

Tax competition, tax harmonization, tax evasion, tax avoidance

Abstract:
Antidumping laws were designed to protect domestic industry from foreign competition. They protect producers at the expense of consumers, which results in higher prices, lower quality products, less consumer choice and a general lowering of the standard of living for the vast majority of people. Antidumping laws also destroy more jobs than they create.

Part I of this article provides an introduction and overview. Part II reviews the theory and practice of antidumping law in the United States. It looks at the economic and legal background of the area, the administration of the antidumping laws, and computational problems involved in arriving at an antidumping decision. It also provides examples of antidumping investigations in the areas of autos, steel, textiles, agricultural products, and televisions and discusses the harmful effects of antidumping policy. It also explores the predatory pricing argument as applied to antidumping.

Part III discusses some philosophical issues relating to antidumping law and policy. It views the antidumping laws as a club that can be used to batter the competition at the expense of consumers and questions the ethics of using government for this purpose. It also points out the silliness of antidumping policy, since it in effect protects consumers from low prices, and develops a rights-based argument against antidumping laws.

Part IV concludes that antidumping laws are harmful, serve no useful purpose and should be repealed, the sooner the better.

Abstract:
In 1944, Martin Crowe, a Catholic priest, wrote a doctoral dissertation titled "The Moral Obligation of Paying Just Taxes". His dissertation summarized and analyzed 500 years of theological and philosophical debate on this topic, much of which took place in Latin. Since Crowe's dissertation, not much has been written on the topic of tax evasion from an ethical perspective, with a few exceptions. In 1998 and 1999, a few articles were published on the ethics of tax evasion in the Journal of Accounting, Ethics & Public Policy. An edited book on this topic was published in 1998.

The present paper summarizes, updates and expands on Crowe's work and the other more recent work that has been published on this topic. Three basic views on the ethics of tax evasion have emerged over the centuries. This article presents and critiques those three views and raises some questions about points that have not yet been explored in the literature.

Tax evasion, ethics

Abstract:
This paper compares and contrasts the various attributes of two ethical systems, utilitarianism and property rights. Utilitarianism is the ethical position taken by the vast majority of economists as well as politicians and bureaucrats. However, upon close examination, several major flaws can be seen with the utilitarian approach. The property rights approach to ethics goes a long way toward overcoming these flaws.

Ethics, utilitarianism, property rights, entitlement

Abstract:
Practically every article that has ever been written about the economic, legal or ethical aspects of acquisitions and mergers has proceeded to discuss the topic from the viewpoint of the initiators, the predators, to use a pejorative term. Very little has been written about the individuals who try to prevent an acquisition or a merger. Still less has been written about the ethical issues involved in attempting to prevent an acquisition or merger. This article attempts to fill that gap in the literature. The author looks at attempts to prevent consenting adults from entering into an acquisition or merger from both the utilitarian and rights perspectives and concludes that individuals who attempt to prevent consensual activity in the area of acquisitions and mergers engage in unethical conduct, whether viewed from the utilitarian ethical perspective or the perspective of property and contract rights.

Abstract:
Corporate governance is a new and rapidly changing field in transition economies. Companies must have good corporate governance to attract foreign investment but many Russian firms have governance practices that leave much to be desired. Until a few years ago, transparency was practically unknown and even now many enterprises hide important financial information rather than report it. Minority shareholders often had little or no rights and the value of their investments evaporated as top management plundered the corporation and transferred assets to shell corporations they controlled.

After the Russian default in 1998 several private organizations were formed to protect minority shareholders and to pressure Russian corporations to adopt good corporate governance practices such as electing independent directors, forming an audit committee as part of the board of directors and adopting and implementing international financial reporting standards. This paper reports on their efforts and discusses how far along Russian corporations are on the road to good corporate governance practices. Some of the information in this paper was gathered from interviews conducted in Moscow and St. Petersburg during the summer of 2003.

Corporate governance, Russia, disclosure, transparency, transition economy, FDI, foreign direct investment

Abstract:
The ethics of tax evasion has been a neglected topic in both the accounting and ethical literature. Until recently, not much has appeared on this topic. The present article reviews the recent literature, focusing on the question of whether tax evasion is unethical in an evil or corrupt state. The author concludes by giving his own views on the subject.

Ethics, tax evasion, Jewish, Christian, Muslim, Islam, Mormon, Baha'i, religion

Abstract:
This paper presents an overview of the current state of auditing in Russia. International Standards on Auditing (ISA) are in the process of being adopted and implemented but this task is far from complete. Furthermore, there is resistance to ISA adoption and there is less than a widespread perception that they are needed or desirable. Russia has adopted some auditing rules that are not included in ISA and the focus of audits in many companies is tax compliance or minimization rather than attestation. Lack of full compliance with ISA makes it more difficult to attract investment capital, since foreign investors do not place much confidence in financial statements that do not comply with International Accounting Standards and that were not audited using ISA.

auditing, Russia, accounting reform, transition economy, emerging economy, International Accounting Standards, International Standards on Auditing

Abstract:
This paper applies philosophical and ethical concepts to the disciplines of taxation and public finance. It discusses various characteristics and attributes of the various forms of taxation, including whether taxation is voluntary or coercive, whether high rates or low rates are preferable from a variety of perspectives, the ability to pay and the cost benefit principles, uniform and discriminatory rates, tax administration, whether taxes should be visible or hidden, whether taxes should be earmarked or placed into the general fund, distortions to the economy that result from taxation, the effect of taxation on competitiveness and economic growth, tax complexity, vagueness, stability and frequently changing rules, the effect of taxation on behavior and incentives, and the effects on social harmony.

Section III discusses the pros and cons of the various forms of taxation. There are separate discussions of the individual income tax, the corporate income tax, property taxation, the value added tax, retail consumption taxes, excise taxes, estate, inheritance and gift taxes, the social security tax, tariffs, inflation as a form of taxation, user fees, lotteries, and capital gains taxation. Part IV discusses the need to limit taxation and discusses various methods that have been advocated to achieve this goal, including a balanced budget amendment, the line-item veto, a supermajority requirement, the referendum, sunset provisions, stating an upper limit in the constitution and privatization.

taxation, public finance, income tax, excise tax, property tax, lottery, user fee, ability to pay, tax characteristics, tax rates, earmarking, vagueness, value added tax, consumption tax, estate tax, gift tax, inheritance tax, capital gains tax, tax limitation, balanced budget amendment, line-item veto, referendum, sunset, supermajority, privatization

Abstract:
The vast majority of articles and books that have been written about trade and trade policy -- nearly all -- look at trade from a utilitarian perspective. Utilitarians take the position that if free trade is a good policy, it is good because the vast majority benefits. Free trade gives consumers more choices. It gives them lower prices. It creates more jobs than it destroys. It is a positive-sum game. An underlying assumption of most utilitarian-based trade arguments is that governments have some inherent right to regulate trade.

This article looks at trade policy from a different perspective. While utilitarian approaches to trade have some value, and while utilitarian arguments often --and rightly -- conclude that free and unrestricted trade is the best policy, they do so for the wrong reason. This article points out that the real reason why totally free and unrestricted trade is good is because it is the only trade policy that does not violate individual rights.

Part I provides an introduction and an overview. Part II reviews utilitarian approaches to trade policy and points out the weaknesses of the utilitarian approach. Part III presents the rights approach to trade policy, which is superior to the utilitarian approach for several reasons. Part IV summarizes the article and presents conclusions.

Abstract:
Countries that are moving from central planning to a market economy face unique problems in many areas, including taxation and public finance. The methods of collecting the revenue needed to fund government services were much different under a socialist system. Shifting to a market system requires government to create new institutions and methods of collecting revenue. All transition economies face similar problems in this regard and several different approaches have been tried in an attempt to find the solution that is best for each particular country. This paper summarizes the methods the Russian Federation is using and comments on the problems Russia still faces as it attempts to install a system of taxation and public finance that is appropriate for its emerging market economy.

Taxation, public finance, transition economy, Russia, VAT, income tax

Abstract:
This study focuses on the economic, ethical and cultural effects of international outsourcing, particularly in India. Outsourcing has been castigated in the press for being a domestic job killer in the US. But such a conclusion is one-sided because it only looks at the job-loss side of the coin. Outsourcing also creates jobs by increasing economic efficiency. Another economic effect of outsourcing is to put downward pressure on prices, which benefits consumers.

Part one of this paper uses economic analysis and ethical theory to examine various aspects of outsourcing. Part two examines cultural aspects.

Traditionally, economic activity in India has been influenced by its caste system, which strictly limits the progression of a person from one caste to another. However, as wealth has improved the economic wellbeing of many families, parents have been able to educate their children, breaking this social barrier. This phenomenon creates a problem, as uneducated parents of educated children often see their children move from the countryside into the cities where jobs and opportunities are more available. This exposes the children to more Westernized lifestyles, creating a new rift among the families.

outsourcing, ethics, culture, India, Hofstede, utilitarian

Abstract:
Corporate governance has received an increasing amount of attention in recent years. Corporate scandals have brought corporate governance weaknesses to the attention of the general public, especially in the United States. Weaknesses in the corporate structure of some Asian countries have been partly blamed for some recessions that have occurred there.

This paper begins with an overview of some basic corporate governance principles as identified by the OECD, World Bank and IMF, then proceeds to examine how these principles are being applied in Indonesia, Malaysia, Thailand and Vietnam.

corporate governance, Asia, Indonesia, Malaysia, Thailand, Vietnam, ROSC

Abstract:
This paper presents an overview of antidumping laws, summarizes some recent antidumping cases that have been filed in the United States against Korean companies, and discusses some moral aspects of initiating an antidumping investigation that have been ignored by other researchers and commentators.

Abstract:
One of the largest expenditures of state and local governments in the USA, and of various governments at all levels in other countries, is for the provision of education. In the USA, states provide a free public school education to students for the first twelve years, and subsidize tuition at state universities thereafter. As a result, public education has become a near monopoly because privately provided education finds it difficult to compete on price. Where private education exists, it can compete only because of nonprice advantages. This near monopoly position with regard to education exhibits many of the attributes of monopolies in general -- the price is higher than would be the case in a market system and the quality is lower. This phenomenon has been recognized, and some economists and others have advocated breaking up this monopoly by the use of a voucher system whereby parents can purchase education for their children by presenting these vouchers to the appropriate authority. Vouchers inject choice and competition into the public education system, which, it is thought, will overcome the disadvantages of the present near-monopoly situation. The funds for these vouchers would be provided by taxation, just as the public school system is presently funded by taxation, except that parents would have some power to decide where the tax proceeds flow. While the use of vouchers would trigger markets, and would cause the price of public education to decrease while improving quality of service, vouchers are only a half-way measure because they ignore some fundamental issues, such as whether government should be in the business of providing education in the first place. This paper explores the possibility of privatizing education and attempts to answer questions such as: Is providing for public education a legitimate function of government? How would education be funded if government didn't do it? How would a privately funded education system provide for those who couldn't pay?

Abstract:
This paper examines factors that affect the accounting system in Russia as it moves toward the adoption and implementation of International Financial Reporting Standards (IFRS). Current rules are examined and selected Russian Accounting Standards (RAS) are compared to IFRS, followed by a discussion of how closely Russian accountants actually follow the rules and the factors that affect accounting practice. The reliability of Russian financial statements is also discussed, followed by a discussion of Russia's options for the future, which groups support the various options, and the likely outcomes. Conclusions are presented in the final section.

Russian Accounting Standards, RAS, International Financial Reporting Standards, IFRS, GAAP, Transition Economy

Abstract:
Antidumping laws have been on the books for many years, but it has only been in the last few decades that they have taken on such a degree of importance. As World Trade Organization rules reduce the importance of tariffs and quotas, antidumping laws are rising to take their place as a major tool of protectionists. There is controversy about the methods used to calculate the cost of production. Some scholars and practitioners view the present system as biased in favor of the entities initiating antidumping investigations. Calculation difficulties are compounded when the target country is labeled as a nonmarket economy, which was the case with Russia until April 2002, since cost figures of surrogate countries are used to estimate production costs and profit margins. This paper reviews the literature on this subject and reports the results of the authors' review of public documents from dumping cases and interviews conducted in July and August 2003 with individuals experienced with Russian antidumping cases.

antidumping, Russia, transition economy, accounting, rent seeking

Abstract:
The issue of ethics seldom arises in discussions involving international trade. Talks generally revolve around a particular policy or how a particular policy affects this or that sector of the economy, industry, country or region. When ethical issues are discussed, it is usually from a utilitarian perspective, since the vast majority of economists and policymakers subscribe to some form of the utilitarian ethical philosophy. They would assert that a policy is good if it results in the greatest good for the greatest number or if the good outweighs the bad. However, the utilitarian philosophy suffers from several major defects. Thus, it is also necessary to look at trade issues from nonutilitarian perspectives. This article is one of the few that attempts to do just that.
This article begins with a discussion of what ethics is, which is necessary before ethical theory can be applied to trade policy. Unfortunately, not everyone can agree on how to approach ethics, so several prevailing views are discussed and analyzed. Economic sanctions are examined next, with emphasis being placed on ethical aspects of present U.S. and U.N. sanctions policy. Part IV addresses the ethics of various protectionist practices. Part V provides a thorough overview of antidumping laws, which are being used with increasing frequency to restrict or block trade rather than facilitate it. Several issues relating to the structure and implementation of antidumping laws are examined from an ethical perspective. Ethical issues involved in the subsidization of exports are examined next, followed by a discussion of other non-tariff trade barriers. Part VIII addresses what might be termed institutional immorality. This section looks at the policies and rules of various international organizations and institutions from an ethical perspective. Part IX looks at the Takings Clause of the United States Constitution in an attempt to determine whether applying the Takings doctrine to international trade might reduce some injustices. Part X offers concluding comments.

Ethics, Trade, Protectionism, Antidumping, Sanctions, Utilitarian, Embargo, Cuba, Iraq, Taking

Abstract:
Russia is in the process of converting its accounting system from the old Soviet model to one that resembles the systems found in developed market economies. The country is adopting international financial reporting standards but with a Russian flavor. To make the transition successful it is necessary to transform accounting education. Present practitioners must be educated in the new system and a new generation of accountants must learn the new system. This paper reviews the relevant accounting education literature and summarizes the results of interviews of accounting educators conducted in Russia during the summer of 2003.

accounting, education, transition economy, Russia, International Accounting Standards, IAS, International Financial Reporting Standards, IFRS

Abstract:
Some individuals advocate incorporating labor standards into trade agreements. Others are vehemently opposed to the idea. Both sides to the controversy give compelling arguments to support their positions. This paper examines the controversy and applies ethical theory to determine whether including labor standards into trade agreements is a good idea.

Labor Standards, Trade Agreements, Ethics, WTO, Globalization, Child Labor

Abstract:
This paper discusses the current state of taxation and public finance in the Russian Federation and compares some aspects of Russian public finance to other CIS and Eastern European countries and to selected OECD countries. The paper begins with a discussion of the present tax system and structure in Russia, then places the Russian system in perspective by comparing certain aspects of the Russian system to those of other countries. Comparisons of tax burden as a percentage of GDP are made with other former Soviet republics as well as selected OECD countries. A ranking is done to determine where Russia fits on a relative scale. Percentage breakdowns are also given by major tax category. Several comparisons are also made using the Tax Misery Index statistics. Interestingly, Russia does not fare too badly compared to some other countries in terms of tax burden and tax misery, although there is room for improvement.

Tax, public finance, Russia, CIS, East Europe, OECD, transition economies, tax misery, tax burden

Abstract:
This study compares and contrasts the accounting education provided by Russian universities with that given at American universities. Two typical universities were chosen for comparison purposes, one Russian and one American. Their curricula were compared and evaluated. Accounting educators at five Russian universities were also interviewed. The information gathered during the course of those interviews is also discussed. It was found that Russian accounting students spend a significantly longer amount of time studying both accounting and other subjects during the course of their university attendance. Part of the reason is because the average Russian accounting program is five years, compared to four years in the American system. However, Russian accounting students also spend more time at their studies each year.

accounting education, Russia, CIS, transition economy

Abstract:
Part I provides an introduction and overview and discusses topics such as the present state of Japanese-American trade policy, the trade deficit mentality, antidumping laws, auto industry protection, exchange rate manipulation, Super 301 and the hypocrisy of the United States position. Part II discusses the present Korean-American trade policy and includes issues such as U.S. trade barriers to Korean exports, tariffs, quantitative restrictions, antidumping and antisubsidy duties and Korean protectionism. Part III presents conclusions.

Abstract:
Insider trading in the United States has been receiving a lot of press coverage in recent years. The press has given the public the impression that insider trading is evil, unethical and illegal, when in fact such is not always the case. In some cases, insider trading is beneficial to the economy and to shareholders. It is not always unethical and it is not always illegal. Whether insider trading is harmful, unethical or illegal depends on many factors, yet the press ignores such nuances. A number of economists have pointed out some beneficial effects of insider trading and legal theorists have written treatises discussing when insider trading is illegal and when it is not. Philosophers have said some good things about insider trading, too, but their scholarly treatises have, understandably, been ignored by journalists.

Policymakers in transition economies are trying to reform their legal and economic systems to more closely reflect those of the developed market economies. The OECD, World Bank, IMF and other organizations are assisting them in this endeavor. One aspect of their reform is to adopt insider trading laws and regulations that mirror those of the developed western economies. However, those policies are often flawed because they tend to outlaw some forms of insider trading that are beneficial to the economy and not unethical in nature.

This paper begins with an overview of the different philosophical approaches that may be taken toward insider trading, then reviews the basic theoretical and empirical literature on insider trading in an attempt to differentiate good insider trading from bad insider trading. The paper then examines some documents that policy makers in transition economies rely on when making laws and regulations regarding insider trading. The paper concludes with some recommendations and guidelines.

insider trading, transition economy, ethics, utilitarian

Abstract:
Timeliness of financial reporting is an attribute of good corporate governance. Shareholders and other stakeholders need information while it is still fresh and the more time that passes between year-end and disclosure, the more stale the information becomes and the less value it has.

Corporate governance is a relatively new concept for transition economies. Prior to the fall of the Berlin Wall and the collapse of the Soviet Union there were no profit-making corporations, no shareholders and no need to report financial results except to the government. All that has changed. In order to raise capital, corporations need to convince potential investors that an investment in their company will be safe. That requires financial reporting standards that can be trusted and financial information that is reported in a timely manner. But the culture of former communist countries is not to disclose information. That mentality is changing as their formerly closed economies open up to investment from the west.

This article examines the timeliness of financial reporting in the Russian energy sector. One reason why this segment of the economy was chosen is because it is one of the most important economic sectors. Another reason is because the energy sector has been the recipient of large sums of foreign investment, which presumably means the standards of financial reporting in the energy sector is better than average.

The timeliness of financial reporting in the Russian energy sector was measured by counting the number of days that elapsed between year-end and the date of the independent auditor's report. Those results were then compared to the timeliness of financial reporting by non-Russian energy companies to determine whether there was a significant difference in the timeliness of financial reporting. The study found that Russian companies took significantly more time to report financial results than did the non-Russian companies.

corporate governance, timeliness, financial reporting, Russia, energy, oil,gas

Abstract:
Timeliness of financial reporting is one of the attributes of good corporate governance identified by the OECD and World Bank. Shareholders and other stakeholders need information while it is still fresh and the more time that passes between year-end and disclosure, the more stale the information becomes and the less value it has.

This paper examines the timeliness of financial reporting in the People's Republic of China. The timeliness of financial reporting was measured by counting the number of days that elapsed between year-end and the date of the independent auditor's report for a number of Chinese companies. Those results were then compared to data of non-Chinese companies in developed market economies to determine whether there was a significant difference. This study also examines which independent audit firms issued the audit opinion and which sets of accounting standards were used (IFRS, US GAAP or Chinese accounting standards) to determine which audit firms and accounting standards dominate.

timeliness, financial reporting, corporate governance, China, GAAP, accounting, transition economy

Abstract:
Islamic finance has become an increasingly popular subject in recent years. Some Islamic investment vehicles have even become popular in the non-Islamic world, although the growth in their popularity has been dampened by lack of knowledge of their existence, their nature and their relative profitability. This paper presents an overview of the various kinds of Islamic investment funds and analyzes their relative profitability in an attempt to shed light on this potentially high-growth investment avenue. The paper begins by identifying the various classifications of Islamic funds and goes on to discuss the more popular fund structures, the role of regulatory boards and the performance history of various Islamic funds. The paper concludes with a discussion of the challenges facing Islamic funds and the opportunities that exist for those who understand what Islamic funds are all about.

Islamic, funds, investment

Abstract:
The PhD is considered to be the terminal qualification in accounting. One would think that the doctorate would be a high quality degree that prepares people to function at the top levels of the profession. But such is not the case. The PhD programs presently offered by most universities do a poor job of educating students in accounting. The author looks at the doctoral curricula of five of the more prestigious accounting programs, points out some of their deficiencies and offers suggestions for improvement.

Abstract:
Tax evasion is a worldwide phenomenon. The problem is especially acute in transition and developing economies, since they do not have an appropriate infrastructure in place to collect taxes. Attitudes of the citizenry are an important factor in the collection of taxes. The present study reviews the attitudes of taxpayers in 33 countries on the issue of the ethics of tax evasion and considers demographic differences (gender, age, education and income level) that may impact these attitudes. The data examined was collected as part of a larger study on human beliefs and values. This study found that women are more opposed to tax evasion than men; older people are more opposed to tax evasion than younger people; less educated people are more opposed to tax evasion than better educated people; and poorer people are more opposed to tax evasion than wealthier people.

tax evasion, ethics, gender, age, education, income

Abstract:
This paper discusses the ethics of tax evasion and trade protectionism from an Islamic perspective.

tax evasion, trade, protectionism, Islam, ethics

Abstract:
This study discusses some of the factors that potential investors look at when trying to determine whether to invest in a particular country. The focus is on eleven countries in Southeastern Europe. Statistics from the 2003 Index of Economic Freedom for these eleven countries are examined from the period 1995-2003 to determine trends. The countries are also ranked for the most current year.

Foreign direct investment, FDI, Southeastern Europe, Eastern Europe, Balkans, transition economy, Albania, Bosnia, Herzegovina, Bulgaria, Croatia, Greece, Macedonia, Moldova, Romania, Slovenia, Turkey, Yugoslavia, Serbia, Montenegro

Abstract:
The common view is that insider trading is always unethical and illegal. But such is not the case. Some forms of insider trading are legal. Furthermore, applying ethical principles to insider trading causes one to conclude that it is also sometimes ethical. This chapter attempts to get past the hype, the press reports and the political grandstanding to get to the truth of the matter.

The author applies two sets of ethical principles - utilitarianism and rights theory - in an attempt to determine when, and under what circumstances, insider trading is ethical. The views of Henry Manne, an early proponent of insider trading, are critically examined, as are the major arguments against insider trading.

Is insider trading good for the company if it is used as a form of executive compensation, which makes it possible to pay lower salaries than would otherwise be the case? Does insider trading cause the stock market to work more efficiently? If insider trading does increase efficiency, is that sufficient to call for its total legalization, or are there other things to be considered?

Several arguments against insider trading have been put forth over the last few decades but there are problems with all of them. One of the main arguments is the fairness argument. The problem with this argument is that different people have different definitions of unfairness. A closely related argument is the level playing field argument, which advocates wider dissemination of information so that it is less asymmetric. One problem with the level playing field argument is that it is better applied to sporting competitions than to trading in information. Some economists argue that forcing the disclosure of nonpublic information can actually result in more harm than good and must necessarily involve the violation of property rights.

Other arguments examined in this chapter include the fiduciary duty argument, the problem of outside traders, the misappropriation doctrine and the restrictions that insider trading laws place on freedom of speech and press. The chapter concludes by setting forth some principles or guidelines to determine when insider trading should be punished and when it should not.

ethics, insider trading, utilitarianism, property rights, contract rights

Abstract:
The ethics of tax evasion has been discussed sporadically in the theological and philosophical literature for at least 500 years. Martin Crowe wrote a doctoral thesis that reviewed much of that literature in 1944. The debate revolved around about 15 issues. Over the centuries, three main views evolved on the topic.

This paper begins with a review of the literature and identifies the main issues and summarizes the three main viewpoints that have emerged over the centuries. It then reports on the results of two surveys of members of the Jewish faith who were asked their opinions on the ethics of tax evasion. The results of the two surveys were then compared. Male scores were also compared to female scores to determine if the responses differed by gender.

ethics, tax evasion, Jewish, gender

Abstract:
Hundreds of articles have been written about various aspects of insider trading. It is one of those topics that is truly interdisciplinary, touching on finance, economics, law, business ethics and perhaps a few other disciplines. Yet with all this research there is still no consensus about when insider trading is ethical and when it is not. Part of the problem is because there is more than one ethical system that could be applied to the analysis. Another problem is that some authors have already decided what the answer should be, so they go about trying to justify their pre-conceived position without paying adequate attention to opposing views. This paper reviews the main ethical views on insider trading and uses a flow chart approach to determine when insider trading is ethical and when it is not.

insider trading, ethics, utilitarian, rights

Abstract:
This paper reviews the evolution of antidumping laws, the negative effects they have had on trade, and the recent changes in these laws that resulted from the Uruguay Round. The author then focuses on the human rights abuses that are inherent in any antidumping law regime and concludes that the only way to stop such abuses is to abolish the antidumping laws, the sooner the better.

Abstract:
A search of the accounting, trade and ethics literature failed to find a single article that discussed the role that accountants play in assisting in the data gathering process of a trade investigation. Yet there are serious ethical issues that need to be addressed. Certain aspects of trade investigations are unethical, whether one takes a utilitarian or rights view of ethics, and accountants play a role in this unethical conduct. This paper looks at those issues and makes recommendations for change.

The author calls for the various state and national accounting organizations to closely examine the ethical issues involved when accountants take part in an antidumping investigation and establish guidelines for ethical conduct.

Abstract:
This article examines corporate bailouts from several ethical perspectives. Utilitarian analysis concludes that bailouts cannot be ethically justified because the losers exceed the winners. Applying rights theory reaches the same conclusion for different reasons.

bailout, corporate welfare, utilitarian, ethics, property rights, auto industry, rent seeking, economic democracy, Fannie Mae, Freddie Mac, financial crisis

Abstract:
Most Favored Nation (MFN) status, trade embargoes and blockades have traditionally been used to entice nations to alter their behavior or to punish them for certain behavior. The intentions behind these policies are generally noble, at least on the surface. However, instituting these policies has side-effects. For example, FDR's blockade of raw materials against the Japanese in Manchuria in the 1930s arguably led to the bombing of Pearl Harbor, which got the United States involved in World War II. The decades-long blockade of Cuba not only did not lead to the topple of the communist regime there, but may have strengthened Castro's hold on the island and has created animosity toward the United States in Latin America and much suffering by the people of Cuba. Various studies have concluded that blockades and economic sanctions generally have not been effective from a utilitarian or policy perspective, yet these policies continue. This paper briefly examines the literature on MFN status, trade embargoes and blockades, but goes beyond the normal utilitarian analysis into some overlooked issues involving property and contract rights and other human rights. Particular attention is paid to the use and possible abuse of MFN status as applied to the People's Republic of China and North Korea, and the trade sanctions against Cuba and Iraq. The paper concludes that a mere utilitarian analysis is insufficient when determining whether trade sanctions should be imposed on a country whose behavior is deemed inappropriate by some segment of the international community. Certain rights issues must also be considered.

Abstract:
This paper examines the question of whether it is ethical for company officials to use the force of government to reduce or eliminate foreign competition, using the antidumping laws as a case study. Antidumping laws are ostensibly aimed at preventing foreign producers from dumping their products on the domestic market at abnormally low prices. Foreign companies run afoul of the antidumping laws if they either sell products on a domestic market for less than the cost of production or for a price that is lower than that charged in the home market. Since the creation of the World Trade Organization, more than 130 countries will likely adopt antidumping laws as part of their trade policy. At the recently failed trade talks in Seattle, one item every country but the United States wanted to place on the agenda was a re-examination of the antidumping laws.
The stated purpose of the antidumping laws is to prevent unfair trade and to punish foreign producers for predatory pricing. The practical effect, however, is to prevent foreign producers from selling their products in a domestic market, even when pricing has not been abnormally low or predatory. The way the antidumping laws are structured, domestic producers can enlist the help of government to prevent foreign competition even when there has been no dumping.
This paper begins with a brief examination of the antidumping laws, then examines several ethical questions related to the antidumping laws. The main question to be addressed is whether, and under what circumstances, it is ethical for domestic producers to ask government to launch an antidumping investigation against a foreign competitor. Related questions examined include: (1) Whether it is ethical to ask the government to launch an antidumping investigation even when the domestic company making the request knows that dumping has not occurred; (2) Whether it is ethical to ask for an antidumping investigation in cases where dumping (according to the definition of dumping) has occurred, where the effect is to help the domestic producers at the expense of the general public.
The paper will examine these questions by applying both utilitarian and nonutilitarian approaches.

antidumping, ethics, competition, protectionism, rent-seeking, trade

Abstract:
Several major trade agreements in recent years have included a provision that addresses labor standards. Other trade agreements that are now in the discussion stage are considering incorporating labor standards as an integral part of the final agreement. The goals of such agreements are noble - to raise the conditions under which the workers of poor countries must work. The arguments are framed in such a way that anyone who opposes raising labor standards appears to be cold and heartless. The problem with raising labor standards by law rather than by the market process is that imposition of higher labor standards has unintended consequences, some of which hurt the very people the new standards are intended to help. But worse yet, some of the people who advocate raising labor standards in poor countries do so knowing that making poor countries comply with new and higher requirements will make it more difficult for them to sell their products in international markets. This paper looks at the economics and politics of harmonizing labor standards and explores some of the unintended consequences of imposing higher labor standards on poor countries and focuses on the protectionist aspects of such policies.

Labor Standards, Labor Agreements, Human Rights, Ethics, WTO, Child Labor, Property Rights, Contract Rights, Association Rights, Sanctions, Globalization, Protectionism, Rent-Seeking, Unintended Consequences

Abstract:
This paper begins with a discussion of what constitutes corporate welfare, then proceeds to apply the corporate welfare concept to the steel industry in the United States. A review is made of the various government supports that the steel industry has enjoyed since 1969. Studies have estimated that support to the steel industry has totaled between $90 and $151 billion. The paper concludes with a discussion of the 30 percent tariff that George Bush imposed on foreign steel producers and suggests that the steel industry should be taken off welfare and allowed to sink or swim on its own.

trade policy, corporate welfare, antidumping, steel industry, rent-seeking, protectionism, tariffs, quotas

Abstract:
One hesitates to make general statements about "Christian" views on anything, given the fact that Christians of various sects have persecuted and even killed each other (not to mention Jews and Muslims) over the centuries because of doctrinal disputes. Nevertheless, I will attempt to make some general statements regarding Christian doctrine on the ethics of tax evasion. The literature on this topic is scant, or at least was scant until recently. Therefore, I will necessarily be limited in my discussion to some Biblical passages, a few recent articles, the views of some Popes and a doctoral dissertation that was written in the 1940s.

Christian, tax evasion, ethics

Abstract:
This paper examines the various arguments for and against insider trading and applies ethical theory in an attempt to determine when insider trading is unethical and when it is not.

insider trading, ethics, rights, utilitarianism

Abstract:
This paper summarizes the results of interviews conducted at accounting firms and educational institutions in Kiev and Odessa during the summer of 2004, supplemented by later correspondence via the internet. Topics discussed include the adoption and implementation of International Financial Reporting Standards (IFRS), education for accounting practitioners, recent changes in accounting education in Ukrainian universities, accounting certification and taxation.

Expertise in IFRS is in short supply in Ukraine. However, demand for knowledge of IFRS is also lacking, which provides little incentive for local Ukrainian accounting firms to develop expertise in this area. As a result, the top international accounting firms, mostly the Big-4, have captured most of the market for this expertise. Nearly all of the largest companies in Ukraine retain the services of one of the Big-4 and it is primarily the large companies that can see any use for IFRS, since it is mostly the largest enterprises that are going to the international capital market in search of capital. International investors demand to see financial statements that are prepared using either IFRS or U.S. GAAP as a condition of providing investment capital and the Big-4 accounting firms are best prepared to provide guidance and expertise in this area.

Much of the IFRS training of practicing accountants is done by the Big-4 accounting firms. They have developed extensive course materials over the years and have a competitive advantage in this area. However, the training they provide is mostly limited to their employees and their clients, which means that accountants who do not work for either a Big-4 firm or one of their clients do not have ready access to IFRS training.

Ukrainian universities have started to incorporate IFRS into their accounting curriculums. The problem is that they cannot always find good learning materials. Some of the most prestigious universities in Ukraine still do not have a course devoted just to IFRS. IFRS is inserted into their course on foreign accounting.

Ukrainian financial statements that are certified by accountants who possess only a Ukrainian certification do not have much credibility in international capital markets. One reason for this lack of credibility is the perception that the average Ukrainian accountant does not meet international standards when it comes to knowledge of IFRS and International Standards on Auditing (ISA). Another reason is because the accounting certification system is viewed as corrupt. There are rumors that Ukrainian accounting certification can be bought.

This problem is being overcome in two different ways. Several internationally recognized accounting certification exams are now being offered in Ukraine. Any Ukrainian accountant who can pass these exams earns instant credibility. The problem is that these exams are given only in English, which greatly limits the number of Ukrainian accountants who can take and pass the exams. This language barrier is being overcome by a group of accounting associations in several former Soviet republics, which began offering a high quality certification program in the Russian language. This certification started with a pilot program in Central Asia and has recently spread to Ukraine, Russia and Moldova. As this program spreads, the credibility of Ukrainian accountants who can pass these certification exams will be greatly enhanced.

Accounting reform, transition economies, Ukraine, IFRS, financial reporting, certification, taxation

Abstract:
St. Thomas Aquinas addressed a number of economic questions, especially in Summa Theologica, II, II. Among the topics covered were the division of labor, property rights, the just price, usury, the labor theory of value, trade and insider trading.

Most of his economic ideas have been either improved upon or discarded by modern economic thinkers. Very little of what he says on economics has remained unchanged over the course of time. Unfortunately, some of his ideas that have been (rightly) discarded by most economists are still being used as the basis of policymaking by politicians and government officials. And some of his ideas that were basically correct (such as his view of insider trading) have been discarded by them. This article summarizes and discusses Thomas' views on economics and political economy.

Aquinas, insider trading, division of labor, Adam Smith, just price, Summa Theologica, usury, labor theory of value

Abstract:
Various studies have estimated the annual cost of product liability litigation alone (not to mention other kinds of liability litigation) in the United States to be between $80 and $117 billion. That's more than the combined gross national products of Bolivia, Chile, Costa Rica, Ecuador, El Salvador, Guatemala, Honduras, Nicaragua, Panama, Paraguay, Peru and Uruguay or about equal to the annual profits of the top 200 corporations in America. But that's only the direct cost. When you add the indirect costs that are incurred in order to avoid liability -- needless testing, excessive liability insurance costs, etc. -- the total could reach as much as $300 billion a year -- the combined gross national products of Austria, Luxembourg, the Philippines, Portugal and Switzerland. This article discusses the liability litigation situation in the United States.

Abstract:
Much is wrong with the way accounting faculty are selected. Under the present selection process, someone who has a PhD and no accounting experience is preferred over someone who has an MBA and CPA and 10 or 20 years of experience. Applicants who have published a few articles in "top" journals are preferred over applicants who have been in charge of 50 or 100 audits. This article looks at the criteria that are presently used by most colleges and universities to select accounting faculty, criticizes their weaknesses and offers an alternative that would enhance ethical standards and the quality of the selection process. The author suggests a point system for choosing accounting faculty where points are assigned for experience and the number of accounting courses taken without regard to whether the applicant has a PhD.

Hiring; Accounting faculty; Ethics; AACSB

Abstract:
Paul Samuelson's recent article in the Journal of Economic Perspectives (2004) started drawing attention even before it was officially published (Fingleton, 2004). His conclusions go against the weight of 200 years of trade theory in concluding that international trade can, at times, result in deadweight losses, which might lead one to conclude that he is either wrong or that he has made a brilliant new discovery. He goes on to prove his point with a series of elaborate equations containing all the Greek letters, subscripts and square roots that economists have come to expect and love. His analysis and conclusions give ammunition to the anti-globalists, many of whom have relied mostly on emotional arguments or faulty logic to support their position in the past (Mander and Goldsmith, 1996). While Samuelson does not come right out and suggest that protectionist measures are called for to provide a safety net for the losers in a Schumpeterian regime (1984), he does leave open the possibility of government intervention to cushion the adverse effects to certain segments of the domestic economy that can result from free trade. This paper disputes Samuelson's conclusions.

Samuelson, globalization, free trade, utilitarianism

Abstract:
While most of the IFAC Code of Ethics provisions make a good attempt at protecting the public, the section on advertising and solicitation does just the opposite. It is blatantly self-serving and protectionist. It is anticompetitive and serves the private interests of accountants at the expense of that segment of the public that might want to use accounting services. Although the IFAC Code of Ethics contains many useful provisions that provide guidance on a number of issues, its provision relating to advertising and solicitation is blatantly anti-consumer and self-serving. Allowing such a provision to continue to exist amounts to an act discreditable to the profession. It is downright embarrassing for an accounting code of ethics to contain a provision that is so blatantly self-serving and anti-public interest. The rules on advertising and solicitation should either be repealed outright or revised to recognize the basic rights of free speech and free press. They should be consumer oriented, not self-serving and anticompetitive.

IFAC, ethics, advertising, solicitation

Abstract:
This paper analyzes the financial bailout in the USA from the perspectives of utilitarian ethics and property rights. The article concludes that bailouts cannot be justified on ethical grounds.

bailout, stimulus, ethics, financial crisis, Keynes, Bastiat

Abstract:
Accounting education has become quite rigid, mostly because it is structured along the lines of a monopoly. The American Assembly of Collegiate Schools of Business (AACSB) has been granted a national monopoly by the Department of Education to accredit business programs and the six regional accreditation agencies have a similar monopoly for their regions of the country. Curriculum is structured along the lines of a top-down system. The author argues for more flexibility in curriculum requirements using a bottom-up approach that is more consumer driven.

Choice; Accounting education; Monopoly; Ethics

Abstract:
In this paper the authors ask whether the Asian financial crisis was unnecessary. They propose rethinking the Asian financial crisis through the relatively new capital account crisis paradigm, originally proposed by Masaru Yoshitomi. The authors argue that this paradigm provides a much more appropriate perspective to frame the questions regarding the causes, cures and preventive measures raised by the Asian financial crisis.

Abstract:
The Russian Finance Ministry has announced that Russia will adopt International Financial Reporting Standards (IFRS) as of January 1, 2004, one full year ahead of the European Union. This move is intended to give Russian financial statements more credibility in international capital markets. The problem is that there are very few Russian accountants who possess a certification that is internationally recognized and respected, with the result that certified statements of Russian firms is close to meaningless. One exception is statements that are certified by one of the Big-Four international accounting firms, but those firms audit only a small subset of all Russian firms. It is possible to purchase an accounting certificate in Russia and there are several kinds of legitimate certificates in Russia that are relatively easy to obtain, in the sense that the rigor of the examination process is much less than that required to pass an international certification exam. The private sector is attempting to provide a solution to this lack of credibility by international certification. This paper reviews those efforts.

accounting certification, international accounting, Russia, transition economy, financial reporting

Abstract:
This Policy Analysis discusses some of the restrictive trade policies the United States imposes on the People's Republic of China. Special attention is given to recent Customs Service policy and antidumping actions that have been initiated against the PRC. The author concludes that these policies are counterproductive and should be changed.

Abstract:
This paper discusses how the reform of university accounting programs has been accomplished in Armenia and Bosnia and suggests how a similar reform can be accomplished in Russia. Curriculum reform in Armenia and Bosnia encountered similar difficulties but the methods chosen to overcome the difficulties were sometimes different. This paper discusses those similarities and differences as well as the process and makes suggestions for how curriculum reform can be achieved in Russia using approaches similar to those used in Armenia and Bosnia.

accounting reform, accounting education, transition economies, Russia, Armenia, Bosnia

Abstract:
Timeliness of financial reporting is an attribute of good corporate governance. Shareholders and other stakeholders need information while it is still fresh and the more time that passes between year-end and disclosure, the more stale the information becomes and the less value it has.

Corporate governance is a relatively new concept for transition economies. Prior to the fall of the Berlin Wall and the collapse of the Soviet Union there were no profit-making corporations, no shareholders and no need to report financial results except to the government. All that has changed. In order to raise capital, corporations need to convince potential investors that an investment in their company will be safe. That requires financial reporting standards that can be trusted and financial information that is reported in a timely manner. But the culture of former communist countries is not to disclose information. That mentality is changing as their formerly closed economies open up to investment from the west.

This paper examines the timeliness of financial reporting in several transition economies that are new European Union members and makes comparisons to companies in four older members of the EU. The goal of the paper is to determine whether there is a significant difference in the timeliness of financial reporting between the two groups of companies. The paper also reports on the relative market share of the accounting firms that audit companies in the European transition economies.

timeliness, financial reporting, accounting, corporate governance, GAAP, transition economy, Czech Republic, Estonia, Hungary, Lithuania, Poland, Romania, Slovenia, Germany, UK, United Kingdom, France, Italy

Abstract:
There is a general feeling that people have a moral obligation to pay their fair share of taxes and that people who pay less than their fair share are acting immorally. Yet little is said about what fair share might be. The author explores this neglected aspect of the issue and develops some ethical guidelines for individuals to follow.

Abstract:
This paper examines the issue of the ethics of tax evasion. It begins with a review of the literature and proceeds to discuss the three main views on the issue that have emerged over the last 500 years. The paper then reports on the results of a survey taken of Romanian business students and faculty.

Tax evasion, ethics, Romania, transition economy, Eastern Europe

Abstract:
The Russian Finance Ministry has declared that all banks and large Russian enterprises must prepare their financial statements based on international financial reporting standards (IFRS) as of January 1, 2004, a full year ahead of the European Union deadline for EU member countries. The problem is that the majority of Russian accountants know little or nothing about IFRS and there are few educational resources they can utilize to get up to speed on the subject. Russian universities cannot provide much assistance because many of their professors are not trained in IFRS either. The private sector has risen to the challenge and is providing some of the much needed training but the quantity of educational resources the private sector is able to provide is insufficient to fully educate the Russian accounting profession in time for the deadline, and the quality of some of the education providers leaves much to be desired. This paper reports on the private sector's initiative to provide quality accounting education. Some of the information in this paper was gathered from interviews conducted in Moscow, St. Petersburg and a few other Russian cities during the summer and fall of 2003.

Accounting, education, Russia, private sector, certification, CPA, CMA, CFM, ACCA, IFRS, international financial reporting standards, IAS, international accounting standards, universities, Russia, transition economy

Abstract:
United States trade policy has been criticized on a number of counts in recent years. The last few presidents have advocated free trade and the free flow of goods and services and have taken steps to reduce some trade barriers such as tariffs. But other policies, most notably U.S. antidumping and countervailing duty enforcement actions, have had the effect of reducing trade and raising the prices that American consumers pay for a wide variety of products. This paper begins with an overview of antidumping theory and practice in the United States, then examines some recent antidumping and countervailing duty actions that have been taken against companies and industries in Malaysia and Thailand. The paper concludes that these actions have been counterproductive in that they have a chilling effect on competition and trade and result in higher prices for American consumers.

Abstract:
Accounting education in Russia has undergone rapid changes since Russia started its transition from central planning to a market economy. Russian accountants have had to learn new terms and concepts such as transparency and full disclosure. Accountants at the large Russian enterprises and the independent auditors who audit them have had to become familiar with International Accounting Standards (IAS), since financial statements prepared using Russian Accounting Standards (RAS) are not credible to foreign investors. Efforts at learning have been hampered by the lack of good training materials and good instruction. The universities are upgrading their accounting curricula as resources permit, but such upgrades are of no help to practicing accountants who have already graduated from the university. The private sector has made attempts to fill this unmet need, with some degree of success. The present study, based on a series of interviews conducted in Russia during the summer of 2003, is the first to look at how the private sector provides accounting education in Russia. It summarizes the problems the Russian accounting profession faces and the solutions that are being found in the private sector.

accounting education, Russia, accounting reform, transition economy

Abstract:
This paper examines the issue of the ethics of tax evasion. It begins with a review of the literature and proceeds to discuss the three main views on the issue that have emerged over the last 500 years. The paper then reports on the results of a series of surveys taken of various populations in Germany and the United States. Gender and age differences are also examined.

tax evasion, ethics, Germany, United States, public finance, gender, age

Abstract:
The ethics of tax evasion has been relatively ignored in both the accounting and ethics literature. The recent work that has been done in this area has focused primarily on the ethics of evading the income tax. This article builds on that literature by looking at the ethical questions involved in evading the estate tax.

Abstract:
Transparency is one of those terms that have many facets. It is used in different ways. It can refer to the openness of governmental functions. It can refer to a country's economy. Or it can refer to various aspects of corporate governance and financial reporting. The OECD (1998) lists transparency as one element of good corporate governance. Kulzick (2004) and others (Blanchet, 2002; Prickett, 2002) view transparency from a user perspective. According to their view, transparency includes the following eight concepts: accuracy, consistency, appropriateness, completeness, clarity, timeliness, convenience, and governance and enforcement. This paper focuses on just one aspect of transparency - timeliness.

The International Accounting Standards Board considers timeliness to be an essential aspect of financial reporting. In APB Statement No. 4, the Accounting Principles Board (1970) in the USA listed timeliness as one of the qualitative objectives of financial reporting disclosure. APB Statement No. 4 was later superseded but the Financial Accounting Standards Board continued to recognize the importance of timeliness in its Concepts Statement No. 2 (1980). The U.S. Securities and Exchange Commission also recognizes the importance of timeliness and requires that listed companies file their annual 10-K reports by a certain deadline.

The issue of timeliness has several facets. There is an inverse relationship between the quality of financial information and the timeliness with which it is reported (Kenley & Staubus, 1974). Accounting information becomes less relevant with the passage of time (Atiase, Bamber & Tse, 1989; Hendriksen & van Breeda, 1992; Lawrence & Glover, 1998).

corporate governance, financial reporting, timeliness, Russia, bank, financial institutions, IFRS, transition economy

Abstract:
The intent of this paper is to review the various tax systems now being used in Western democracies and evaluate their strengths and weaknesses in an attempt to determine what kind of tax system an emerging democracy should adopt if it wants to achieve certain goals. This paper is not aimed at any particular emerging economy but at all emerging economies in general, whether in Europe, Asia, Africa or Latin America. Indeed, many of the principles discussed in this paper could profitably be applied to the more developed countries in the West, although the western democracies would have difficulty implementing many of the suggestions in this paper because of the entrenched bureaucracy that has built up over the decades. Part I of this paper provides an introduction and overview. Part II examines the characteristics and attributes of the various means governments use to raise revenues. Part III discusses the advantages and disadvantages of each of the major forms of revenue raising. Part IV discusses the need to limit taxation and government spending. Part V suggests an approach to taxation for emerging economies.

Abstract:
The concept of marketable pollution permits (MPP) has become an increasingly popular topic of discussion for environmentalists in recent years, although the idea has been around since at least 1968, when J.H. Dales published a book on the issue. This approach was given added credibility when the Congress passed the Clean Air Act of 1990, which made the concept an official part of environmental regulatory policy. A typical solution in this regard is for the government to mandate that a certain kind of pollutant in a specified geographic area be reduced by a defined target percentage within a certain time period. Basically, such nostrums are based on a centralized command system rather than the market place. This paper applies market theories to the problem of pollution. It maintains that while market socialism (e.g., tradeable emission rights) is preferable to central commands, a system of fully protected private property rights is superior to both.

Abstract:
This article addresses some issues in graduate accounting education from the perspectives of economics, law and ethics. There are separate sections on certification and graduate accounting education, curriculum, faculty and accreditation. The article concludes with some suggestions for a model accounting program.

Abstract:
Accounting educators need a PhD because accreditors and universities say they need one. But when one looks beneath the surface, one finds that there is little economic justification for the requirement. In fact, requiring a PhD actually leads to diseconomies and may violate rights. The author elaborates on some of the overlooked diseconomies involved in requiring a PhD and touches on the ethics of having such a requirement, from both a utilitarian and rights perspective.

Abstract:
This paper explores some legal and philosophical issues surrounding the practice of dwarf tossing, the sport by which dwarfs are thrown for fun and profit. Part I provides an overview. Part II provides some background information regarding the sport. Part III analyzes the body as property argument and tentatively concludes that individuals have an absolute right to do with their bodies as they see fit. Part IV discusses whether the balancing of interests argument is a valid limitation on the body as property argument and concludes that it is not. Part V looks at the argument that dwarf tossing should be banned or restricted on public policy grounds. Part VI asks whether dwarf tossing should be outlawed and concludes that there are no valid arguments to justify outlawing or restricting the practice.

dwarf tossing, dwarf throwing, body as property

Abstract:
Most articles and books that have been written on immigration policy start from a utilitarian position. They discuss issues such as whether immigration, on balance, is more harmful than beneficial, whether allowing immigrants into the country results in job losses, increases in welfare costs, aids in economic growth, and so forth. This article is distinctly different in focus. Although utilitarian themes are discussed, this article places the main emphasis on the relationship between property rights and immigration policy.

Part One reviews the utilitarian arguments that have been made in connection with immigration policy. Part Two discusses the balancing of interests argument, which attempts to arrive at solutions to immigration problems by balancing the interests of immigrants with the interests of those who are affected by immigration. Part Three examines the public policy rationale for placing restrictions on immigration. Part Four applies property rights theory to immigration policy. The article concludes that utilitarian approaches, which include the balancing of interests argument, suffer from fatal defects, as does the public policy argument. The real solution to immigration problems must be found in a policy that recognizes and respects property rights.

Abstract:
Most articles and books that have been written on immigration policy start from a utilitarian position. They discuss issues such as whether immigration, on balance, is more harmful than beneficial, whether allowing immigrants into the country results in job losses, increases in welfare costs, aids in economic growth, and so forth. This article is distinctly different in focus. Although utilitarian themes are discussed, this article places the main emphasis on the relationship between property rights and immigration policy.

Part One reviews the utilitarian arguments that have been made in connection with immigration policy. Part Two discusses the balancing of interests argument, which attempts to arrive at solutions to immigration problems by balancing the interests of immigrants with the interests of those who are affected by immigration. Part Three examines the public policy rationale for placing restrictions on immigration. Part Four applies property rights theory to immigration policy. The article concludes that utilitarian approaches, which includes the balancing of interests argument, suffer from fatal defects, as does the public policy argument. The real solution to immigration problems must be found in a policy that recognizes and respects property rights.

Abstract:
The antidumping laws punish foreign producers for selling their products on a domestic market at less than fair value. The purported purposes of the antidumping laws are to prevent predatory pricing and to compensate for market distortions caused by foreign governments. The problem is that predatory pricing rarely exists, and if it does exist, it benefits consumers. Furthermore, the application of the antidumping laws does little or nothing to level the playing field to compensate for market distortions caused by foreign governments. But the central problem with antidumping laws is that their actual effect is to protect domestic producers from foreign competition at the expense of the general public.

This article summarizes the antidumping literature on these points and goes on to explore some ethical issues that heretofore have been almost totally ignored in both the economics and ethics literature. Both utilitarian and rights-based ethics are applied. In the concluding section the author discusses whether these ethical problems can be resolved by mere reform or whether outright repeal is called for.

Abstract:
The ethics of tax evasion has been discussed sporadically in the theological and philosophical literature for at least 500 years. Martin Crowe wrote a doctoral thesis that reviewed much of that literature in 1944. The debate revolved around about 15 issues. Over the centuries, three main views evolved on the topic.

This paper begins with a review of the literature and identifies the main issues and summarizes the three main viewpoints that have emerged over the centuries. It then reports on the results of a survey of Hong Kong accounting, business and economics students who were asked their opinions on the ethics of tax evasion. The survey consisted of 15 statements, representing the 15 issues and 3 viewpoints that have emerged over the centuries. Participants were asked to signify the extent of their agreement with each statement by placing a number from 1 to 7 in the space provided. Ninety (90) usable responses were received. The data were then analyzed to determine which of the three viewpoints was dominant among the sample population. Male scores were also compared to female scores to determine if the responses differed by gender.

tax evasion, evade, ethics, China, Hong Kong

Abstract:
Both proponents and opponents of the 150 semester-hour accounting education requirement have used utilitarian arguments to justify their position. This paper takes a different approach. It begins with a brief review of the utilitarian arguments that have been made regarding the 150 semester-hour requirement, then proceeds to apply rights theory to the question. The paper concludes that the 150 semester-hour requirement is a bad idea because it violates rights.

accounting education, efficiency, ethics, graduate education, 150 semester hour requirement

Abstract:
Although each of the countries of the former Soviet Union (CIS), as well as the transition economies in Eastern and Central Europe all have their own national accounting and auditing certifications, their certifications lack credibility in international capital markets, not to mention at home. International investors do not place much confidence in their certifications because they are not familiar with them and because they have neither the time nor the inclination to become familiar with them. Their quality is also suspect, since many of them do not meet the standards of certifications in the more advanced market economies. The market is attempting to fill this vacuum by introducing accounting certifications that have already stood the test of time. The most popular international certification is offered by the Association of Chartered Certified Accountants (ACCA). Until a few years ago, this certification was the only truly international certification. However, in recent years a few other certifications have started to become internationally recognized. This paper discusses the reasons for the popularity of international certifications, the reasons why resistance to them has been encountered, and reports on the status of the various internationally recognized accounting certifications in the former Soviet Union (CIS), Eastern and Central Europe.

accounting certification, CIS, Eastern Europe, Central Europe, ACCA, CMA, CFM, professional certification, Russia, Ukraine, Moldova

Abstract:
This article summarizes the results of interviews conducted in Armenia to determine the reasons why Armenians evade the payment of taxes. The two main reasons the author found were that tax evasion is easy because there is no mechanism in place to collect taxes and there is a widespread feeling that people do not owe anything to the government because the government does not do anything for them.

Abstract:
All governments need money in order to pay for the cost of operations. There are a number of ways that they can obtain the funds they need. Economies that are emerging from central planning to a market system are in a unique position in this regard - some would say enviable - because they have not built up large, burdensome tax collecting bureaucracies over the years. The tax systems in western democracies, on the other hand, have become ever more complex, inefficient, and difficult to manage. In the USA, for example, tax laws are passed and later amended, then amended again and again. Because laws are easier to pass than repeal, the volume and complexity of the tax law grows with each passing year, to the point, where the system is in danger of collapsing of its own weight. Over time, the tax laws have become more complex and more obscure.

Abstract:
Antidumping laws have existed in some form since the early twentieth century. Ostensibly aimed at protecting domestic producers from unfair trade practices, they have sometimes been used as weapons of protectionism even when dumping has not occurred. When this happens, some special interest group gains at the expense of the general public.

This paper begins with a review of the theory and practice of antidumping laws, then proceeds to examine recent trends in antidumping cases involving four Asian countries.

antidumping, rent seeking, protectionism, ethics, Asia, China, Japan, Korea, Taiwan, India, EU, USA, utilitarian, rights

Abstract:
This paper analyzes the data on tax evasion that was collected as part of a much larger survey on human beliefs and values. Data from the Asian countries that were included in the survey are compared and contrasted. The opinions of participants are ranked by country in several demographic categories, including gender and age. The data gathered from some surveys of China and Thailand are also discussed.

Abstract:
This paper analyzes the data on tax evasion that was collected as part of a much larger survey on human beliefs and values. Data from the Asian countries that were included in the survey are compared and contrasted. The opinions of participants are ranked by country in several demographic categories, including gender and age. Data gathered from some surveys of China and Thailand are also discussed.

ethics, tax evasion, Asia, China, Thailand, gender, age

Abstract:
David Hume's views on economics are expressed in his Essays, Moral, Political and Literary, Part II (1752). He was a contemporary of Adam Smith and read Smith's The Wealth of Nations shortly before his death. Some commentators have suggested that Hume exercised some influence over Smith's views on economics. Other commentators are not so sure.

Hume's commentators over the last 200 years have emphasized his theory of knowledge, doctrine of causality and belief, theory of morals and historical writing. His views on economics have been relatively neglected. The purpose of this essay is to summarize and clarify Hume's views on economics.

Hume, Adam Smith, trade, monetary theory, Chicago School, specie-flow doctrine, interest theory

Abstract:
This paper describes and summarizes the accounting education segment of the USAID Accounting Reform project in Armenia. After a brief introduction that discusses the history and culture of Armenia, the paper goes into a discussion of the major aspects of accounting education reform. Education reform included replacing the accounting curriculum of all the major universities and institutions in Armenia as well as training existing certified accountants and auditors and enterprise accountants. Accounting training was provided for other groups as well. There is also some discussion of the new certification model, which closely parallels the ACCA model, and some of the implementation problems that arose during the course of the reforms.

Accounting Reform, Accounting Education, Transition Economy, Armenia, USAID

Abstract:
There is a presumption that PhDs are more desirable to have in the classroom than non-PhDs. They are chosen over non-PhDs for job interviews, they are paid more and they have a higher probability of receiving tenure. This article applies economic analysis to the issue and challenges the assumption that PhDs are more qualified to teach than non-PhDs. The author also applies ethical theory to the question of whether PhDs should be preferred over non-PhDs in employment situations.

Abstract:
The accounting and philosophical literature on tax evasion has been scant, at least until recently. The few articles that have discussed the ethics of tax evasion have usually taken either a generalist approach or have focused their attention on the ethics of evading income taxes. This article is the first to address the issue of whether it is unethical to evade the capital gains tax.

Abstract:
The accounting and philosophical literature on tax evasion has been scant, at least until recently. The few articles that have discussed the ethics of tax evasion have usually taken either a generalist approach or have focused their attention on the ethics of evading income taxes. This article is the first to address the issue of whether it is unethical to evade the Social Security tax.

Tax evasion, Social Security, ethics

Abstract:
In 1944, Martin Crowe, a Catholic priest, wrote a doctoral dissertation titled The Moral Obligation of Paying Just Taxes. His dissertation summarized and analyzed 500 years of theological and philosophical debate on this topic, which identified three basic philosophical positions on the issue. Since Crowe's dissertation, not much has been written on the topic of tax evasion from an ethical or religious perspective.

The present paper is an empirical study, the goal of which is to determine the strength of the 15 arguments justifying tax evasion that Crowe identified plus 3 more recent arguments. A survey was constructed using a seven-point Likert scale that included all three positions and all 18 arguments and distributed to 638 students at a large college in the western United States, 562 of which were members of The Church of Jesus Christ of Latter-day Saints. The 18 arguments were ranked in terms of strength, from strongest to weakest. Comparisons were also made with data gathered from non-LDS students.

tax evasion, ethics, Mormon, gender, religion

Abstract:
Rule 501 of the AICPA's Code of Professional Conduct as well as the codes of ethics of other state, national and international accounting organizations prohibits acts that are discreditable to the profession. There are several problems with this rule. For one, it is self-serving and does more to protect the profession than the public. Many kinds of personal conduct might subject an accountant to punishment for actions that do not involve fraud or the violation of rights. Another problem is vagueness. There are few guidelines to clarify what might constitute a discreditable act. Consensual sexual acts is one such area. The author concludes that accounting organizations should not engage in policing the moral conduct of their members unless that conduct adversely affects a client or a segment of the investing public.

Abstract:
This paper briefly discusses the three views that have emerged over the centuries on the ethics of tax evasion, then summarizes the results of several opinion surveys that were conducted on the topic. The paper concludes with a discussion of how these study results may be used in the classroom.

teaching, ethics, tax evasion

Abstract:
This paper begins with a general discussion and overview of the antidumping laws, then proceeds to discuss recent trends in the application of antidumping laws, with special reference to Korea, both as a target and as an initiator of antidumping investigations. The authors point out some welfare problems with antidumping laws - they are a negative-sum game - and discuss whether the antidumping laws are capable of being reformed or if they should be repealed outright.

Korea, antidumping, protectionism, trade, ethics

Abstract:
Various groups have been demanding that discussions of labor standards be included in all future trade negotiations. The press is full of stories of alleged exploitation of child labor and other employment abuses in developing countries and human rights groups have demanded that something be done about it. However, the press and the academic literature have neglected various property, contract and association rights issues relating to labor standards in lesser developed countries. This paper attempts to remedy that deficiency and to start a discussion of some issues that have been overlooked or inadequately discussed. The tools of analysis will include both utilitarian ethics and rights-based ethics.

Labor Standards, Labor Agreements, Human Rights, Ethics, WTO, Child Labor, Property Rights, Contract Rights, Association Rights, Sanctions, Globalization, Protectionism

Abstract:
Russia has the world's largest natural gas reserves, the second largest coal reserves and the eighth largest oil reserves. Several factors are coming together to make it appear that Russia's energy industry has bright prospects for the foreseeable future. China's rapid rate of economic growth has greatly increased its energy needs, and therefore the demand for energy. This increase in demand has put upward pressure on worldwide oil prices. The same could be said for India, the world's second largest country in terms of population, which has also experienced rapid economic growth in recent years. Turmoil in the Middle East, which increases uncertainty in international energy markets, has also helped caused oil prices to reach record levels. Both of these factors - rapid economic growth by the world's two most populous countries and turmoil in the Middle East - appear to be long-term.

This paper discusses the prospects for Russia's oil industry.

oil, Russia

Abstract:
There is no doubt that protectionism costs. But it is less clear exactly how much it costs and who pays. And while protectionism results in a deadweight loss -- there are more losers than winners -- some individuals and groups gain from protectionism. And it is those who stand to gain who have the ear of the legislature, at least for the most part. Part I of this article provides an introduction and overview of the topic. Part II provides an overview of protectionism and the costs associated with it. Part III examines the monetary costs of protectionism, with emphasis on the costs of protectionism in the auto, steel, textile and agricultural industries. Part IV discusses the nonmonetary costs associated with protectionism, such as unemployment, reduction in social harmony, reduced choice and rights violations. Part V concludes that protectionism is a bad policy, whether viewed from a utilitarian or rights perspective, and recommends that laws that support protectionism should be repealed because protectionism is not in the public interest.

Abstract:
Excise taxes are used not only to raise revenue but also to alter or punish behavior. In many cases, excise taxes can be called "sin" taxes because they punish people for politically incorrect behavior like smoking and consuming alcoholic beverages. This article examines the nonrevenue raising uses of excise taxes and analyzes their propriety from the perspectives of economics, law and ethics.

Excise taxes, Public economics, Ethics, Rent-seeking; Political economy

Abstract:
Transition economies encounter numerous problems as they go through the process of converting their centrally planned economic systems into market economies. One hurdle they face is how to attract foreign direct investment (FDI). One of the keys to attracting FDI is having financial statements that international investors can trust. The two most widely recognized sets of internationally recognized accounting standards are International Financial Reporting Standards (IFRS) and U.S. GAAP. However, merely adopting IFRS or U.S. GAAP is not enough. International investors have to feel confident that the accountants who prepare the financial statements and the auditors who audit them are fully conversant in the international standards that they use. That is where education and certification enter the scene. This article discusses the process being used in some countries of the former Soviet Union (FSU) to achieve the goals of creating a class of educated and competent accountants and auditors who will be able to make and audit financial statements that international investors can trust. The focus is on accounting certification.

Accounting, certification, education, CPA, CIPA, IFRS, IAS, IFAC, Central Asia, Russia, Ukraine, Moldova, Armenia, Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan, Uzbekistan

Abstract:
This study compares and contrasts the accounting education provided by Ukrainian universities with that given at American universities. Two typical universities were chosen for comparison purposes, one Ukrainian and one American. Their curricula were compared and evaluated. Ukrainian accounting educators were also interviewed. The information gathered during the course of those interviews is also discussed. It was found that Ukrainian accounting students spend a significantly longer amount of time studying both accounting and other subjects during the course of their university attendance.

Accounting, education, Ukraine, United States, transition economy, Eastern Europe

Abstract:
Paying taxes is a cost of doing business. The looters (or public servants, depending on your perspective) must be paid and tax proceeds must be distributed to various groups and individuals, both worthy and unworthy. But tax expense includes more than just the amount of taxes that must be paid. Before taxes can be paid, a determination must be made as to how much is owed. That involves paying the salaries of accountants, bookkeepers and clerks and perhaps an occasional law firm.

This study examines the level of tax administration burden, not from a monetary perspective but rather from the perspective of annual hours required to comply with the tax laws. Comparisons are made of the tax administration burden of 29 transition economies. A comparison is then made of the tax administration burden in transition economies and OECD countries.

tax administration, tax compliance, Individual Taxpayer Burden Model, ITBM, transition economy, OECD

Abstract:
This paper begins with a discussion of antidumping laws in general and how they have been applied by U.S. domestic producers to target Russian and Ukrainian companies. The use and abuse of antidumping laws by the steel industry in the United States is then discussed, followed by discussions and analyses of selected antidumping cases involving Russian and Ukrainian companies and industries. The paper then applies ethical theory to antidumping and concludes that the only ethical solution is repeal rather than reform of the antidumping laws.

antidumping, dumping, Russia, Ukraine, former Soviet Union, transition economy, protectionism, nontariff trade barrier

Abstract:
This paper comments on an article by Sheldon Smith, who discussed the ethical issues facing doctorally qualified accounting faculty members who are employed by small, undergraduate teaching schools but who also wish to develop vitae that will allow for future mobility. The present article goes beyond the issues Smith raises to include a discussion of the relevance of the PhD degree at teaching institutions and the relevance of research as a measure of competence.

Abstract:
This paper describes and summarizes the USAID Accounting Reform Project in Armenia. After a brief introduction that discusses the history and culture of Armenia, the paper goes into a discussion of the major aspects of accounting reform, which included assisting the Finance Ministry adopt and implement International Accounting Standards (IAS) and International Standards on Auditing (ISA), translating accounting materials into Armenian and Russian, upgrading the accounting curriculum at all the major universities and institutes, facilitating the growth of a private sector accounting association, assisting in the development of continuing professional education programs (CPE) for practitioners and helping to establish an accounting certification program. The author was employed by a private consulting firm that had the USAID accounting reform contract for Armenia.

Accounting reform, Armenia, Caucasus, certification, IAS, IFRS, education, financial reporting, training

Abstract:
The subjective theory of value - the theory that something is worth whatever someone is willing to pay for it - has been around for more than 100 years. Yet the people who determine what accounting students must study ignore this basic fact when they construct accounting degree requirements. The result is suboptimization - an accounting program that is necessarily of lower quality than would otherwise be the case.

Applying the subjective theory of value to graduate accounting and tax curricula in the United States makes it clear that, in order to offer higher quality programs, it is necessary to give students a choice. Rather than dictating from above what courses must be taken to receive a degree, students must be free to choose for themselves what courses they, in their own subjective judgment, place the highest value on. Any curriculum that does not maximize student choice must, necessarily, be of lower quality than one that lets students make their own choices.

Abstract:
This paper examines the timeliness of financial reporting in the Russian energy sector and compares the days delay in reporting by Russian energy companies to days delay by non-Russian companies in the petroleum refining industry. The study found that Russian companies' delay in reporting financial information is significantly longer than that for non-Russian companies.

timeliness, financial reporting, Russia, oil, energy, petroleum refining

Abstract:
The Republic of Armenia passed a tax law in 1997. The new tax law was modeled along Western lines and was intended to move the country toward a market economy. The law has its good points and its bad points. The author summarizes the new Armenian tax law and analyzes its good and bad points from the perspectives of law, economics and ethics.

Abstract:
Economic sanctions have become an increasingly popular method of punishing nations that do not behave according to international standards. But sometimes sanctions are imposed on allies and trading partners as well. The United States currently imposes sanctions on 90 countries, including Canada and Mexico.

This paper examines U.S. sanctions policy and the effects it has had on international relations. The paper concludes by offering a set of guidelines to assist in determining when sanctions should be imposed and when other options would be more effective.

economic sanctions, international relations, utilitarian ethics, rights, protectionism, Iraq, Cuba

Abstract:
President George W. Bush ran on a platform of free trade during the 2000 election. Yet shortly after he took office he started engaging in protectionist trade practices. The 30 percent tariffs imposed on steel and Canadian lumber were only two of the most noticeable examples of practicing protectionism while preaching free trade. George W. Bush is not the only president to have engaged in this kind of behavior. President Clinton and his predecessors have also preached this "do as I say, not as I do" philosophy. This paper examines the U.S. government policy of promoting free trade on the one hand while sabotaging it on the other. The focus is on how the antidumping laws are used to prevent trade with the 15 former Soviet republics.

Free trade, Protectionism, Antidumping, USAID, United States Agency for International Development, Soviet Union, Commonwealth of Independent States, CIS, Russia, Ukraine, Georgia, Armenia, Moldova, Kazakhstan, Azerbaijan, Kyrgyzstan, Uzbekistan, Tajikistan, Turkmenistan, Belarus, Lithuania, Latvia

Abstract:
In 1944, Martin Crowe, a Catholic priest, wrote a doctoral dissertation titled The Moral Obligation of Paying Just Taxes. His dissertation summarized and analyzed 500 years of theological and philosophical debate on this topic, which identified three basic philosophical positions on the issue. Since Crowe's dissertation, not much has been written on the topic of tax evasion from an ethical or religious perspective.

The present paper uses the data gathered as part of a much larger study on human beliefs and values and compares the views of 2039 Australians, 1155 New Zealanders and 1198 Americans on the ethics of tax evasion. Comparisons are made for general viewpoints as well as by gender, age and level of education to determine if there were any significant differences.

ethics, tax evasion, Australia, New Zealand, USA, United States, gender, age, education