The Impact of IFRS on Accounting Quality: Evidence from Greece

Advances in Accounting, Incorporating Advances in International Accounting, Volume 29(1), pp. 108-123, 2013

Posted: 21 Jul 2016

See all articles by Panagiotis Dimitropoulos

Panagiotis Dimitropoulos

University of Peloponnese

Dimitrios Asteriou

Hellenic Open University

Dimitrios V Kousenidis

Aristotle University of Thessaloniki - Law, Economic and Political Sciences; Aristotle University of Thessaloniki

Stergios Leventis

International Hellenic University - School of Economics and Business Administration; International Hellenic University (IHU)

Date Written: 2013

Abstract

This paper examines the impact of IFRS adoption on the quality of accounting information within the Greek accounting setting. Using a sample of 101 firms listed in the Athens Stock Exchange (ASE) for a period of eight years (2001–2008) we find convincing evidence that the implementation of IFRS contributed to less earnings management, more timely loss recognition and greater value relevance of accounting figures, compared to the local accounting standards. Also, our findings document that audit quality further complements the beneficial impact of IFRS since those companies that are audited by Big-5 audit firms exhibit higher levels of accounting quality. Our findings are robust in regard to different model specifications and after controlling for firm-specific effects like size, risk, profitability and growth opportunities.

Keywords: IFRS, Value Relevance, Asymmetric Timeliness, Earnings Management, Greece

JEL Classification: M41

Suggested Citation

Dimitropoulos, Panagiotis and Asteriou, Dimitrios and Kousenidis, Dimitrios V and Kousenidis, Dimitrios V and Leventis, Stergios, The Impact of IFRS on Accounting Quality: Evidence from Greece (2013). Advances in Accounting, Incorporating Advances in International Accounting, Volume 29(1), pp. 108-123, 2013, Available at SSRN: https://ssrn.com/abstract=2812312

Panagiotis Dimitropoulos (Contact Author)

University of Peloponnese

Tripolis, 22100
Greece

Dimitrios Asteriou

Hellenic Open University ( email )

Bouboulinas 57-59
Patra, 26222
Greece

Dimitrios V Kousenidis

Aristotle University of Thessaloniki ( email )

School of Economics and Political Sciences
Department of Economics
Thessaloniki, 54124
Greece

Aristotle University of Thessaloniki - Law, Economic and Political Sciences ( email )

School of Economics and Political Sciences
Department of Economics
Thessaloniki, 54124
Greece

Stergios Leventis

International Hellenic University - School of Economics and Business Administration ( email )

14th km Thessaloniki
Moudania
Thermi, Thessaloniki 57001
Greece

International Hellenic University (IHU) ( email )

14th km Thessaloniki
Moudania
Thermi, Thessaloniki 57001
Greece

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