This paper discusses the effects of the adoption of IAS/IFRS in Europe on the
quality of financial reporting. In doing so, it adopts the perspective of stock
market investors and focuses on value-relevance research. The adoption of
IAS/IFRS in Europe is an example of accounting standardization among
countries with different institutional frameworks and enforcement rules. This
allows investigating whether, and to what extent, accounting regulation per
se can affect the quality of financial reporting and leads to convergence in
financial reporting. This is a key issue for standard setting purposes as IAS/
IFRS have been adopted in very diverse countries all over the world, and many
others are likely to adopt them in the near future.
2013 Production and hosting by Elsevier B.V. on behalf of China Journal of
Accounting Research. Founded by Sun Yat-sen University and City University
of Hong Kong.