This chapter analyzes the role of financial accounting in the German financial system. It starts from the common … perception that German accounting is rather uninformative. This characterization is appropriate from the perspective of an arms … perspective is adopted. The German accounting system exhibits several arrangements that privately communicate information to …

This chapter analyzes the role of financial accounting in the German financial system. It starts from the common … perception that German accounting is rather "uninformative". This characterization is appropriate from the perspective of an arm … perspective is adopted. The German accounting system exhibits several arrangements that privately communicate information to …

.28% with a half-life of 0.92 days. Price pressure causes average transitory volatility in daily stock returns of 0.49%. Price …

amount of liquidity available in the market rather than the future earning power of the asset. Mark-to-market accounting is … are insolvent. In contrast, if historic cost accounting is used, banks are allowed to continue and can meet all their … future liabilities. Mark-to-market accounting can thus lead to contagion where none would occur with historic cost accounting. …

The paper analyses the effects of three sets of accounting rules for financial instruments - Old IAS before IAS 39 … restrictive hedge accounting rules, banks cannot adequately portray their best practice risk management activities under Current … IAS or US GAAP. We demonstrate that - contrary to assertions from the banking industry - mandatory FFV accounting …

The recent financial crisis has led to a major debate about fair-value accounting. Many critics have argued that fair …-value accounting, often also called mark-to-market accounting, has significantly contributed to the financial crisis or, at least …, exacerbated its severity. In this paper, we assess these arguments and examine the role of fair-value accounting in the financial …

. Contrary to the commonly held view, fair value accounting did not have a major impact on the crisis development and severity …

The recent financial crisis has led to a vigorous debate about the pros and cons of fair-value accounting (FVA). This … accounting standards, be it IFRS or U.S. GAAP. Third, historical cost accounting (HCA) is unlikely to be the remedy. There are a …

amount of liquidity available in the market rather than the future earning power of the asset. Mark-to-market accounting is … banks are insolvent. In contrast, if historic cost accounting is used, banks are allowed to continue and can meet all their … future liabilities. Mark-to-market accounting can thus lead to contagion where none would occur with historic cost accounting. …