After almost every economic crisis and corporate scandal, political actors announce the need for stricter regulatory measures for financial markets and companies, in an attempt to appease their voters and defend their political agenda. Regarding the latest international financial crisis, the EU...

Non-audit services have become a major focus of the Big Four accounting firms. Failures in these services may impair the accounting firm's reputation as an auditor. Along with short-term reputation effects, this may induce longer-term economic consequences and reactions by the accounting firm to...

Researchers and regulators have continuously debated whether mandatory audit firm rotation improves or impairs audit quality. Theoretically, rotation might improve auditor independence, but may impair auditor competence, because the new auditor lacks client-specific knowledge. In 2014, the...