After the accounting scandals that have taken place mainly in the United States during the last years, some Spanish leading authorities have defended the idea that these kind of accounting problems cannot happen in Spain. They argue that accounting regulation in Europe, and specifically in...

'Creative accounting' involves accountants in making accounting policy choices or manipulating transactions in such a way as to give the impression in the accounts that they prefer. While regarded as unethical by most observers, a defence of creative accounting can be based on the ability of the...