Financial statement preparers often make accounting judgments with considerable uncertainty about what future accounting standards will require. We conduct a study in the experimental economics tradition to investigate how such uncertainty affects preparers’ current period accounting...

Using data from 19 countries over the 1990–2015 period, we examine how economic policy uncertainty (EPU) affects accounting quality. We find that accounting quality, measured based on Nikolaev's (2018) model, increases during periods of high policy uncertainty. This relation is confirmed by...