At Least ONE Academic Supports the Perlmutter Amendment

When the AAA-FASC committee wrote a letter opposing the Perlmutter Amendment, I asked “Are there any academics who would support such a proposal?” It turns out the answer is yes:  David Albrecht of Concordia College, and author of the blog The Summa (as in the book by Brother Luca Pacioli, father of double entry bookkeeping).  [...] Read more > >

More Washington work for FASB

The Perlmutter amendment that would allow a regulator to set GAAP is getting a lot of press.  But Congress members have more work in mind for the FASB.  Representative Scott Garrett has proposed an amendment that requires the FASB to study the economic effects of its recent securitization rules (FAS 166 and 167).  Apparently, Garrett [...] Read more > >

FEI Hosts Issues Conference in NYC

FEI just held their 28th Current Financial Reporting Issues Conference in NYC. Lots of big names in financial reporting were on the schedule, including several high-level representatives from the FASB and the SEC. You can read about some of what was said at the conference on the FEI blog (here and here).  Lots of interesting [...] Read more > >

New Support and Opposition on Perlmutter Amendment

We reported last week on the Perlmutter amendment.  In the typically understated fashion of accounting professors, the AAA-FASC wrote a letter opposing it. Such an amendment would shift the power to promulgate accounting standards from the Financial Accounting Standards Board (FASB) to a Systemic Risk Oversight Council, and it would shift the objectives of financial [...] Read more > >

Why Publish in a Third-Rate Journal When You Can Publish in a First-Rate Blog?

That was just one of the many comments made by first-rate blogger Tyler Cowen of George Mason’s Economics Department, and author of Marginal Revolution (listed by the WSJ as one of the top 25 economics blog), during our phone conversation last week. Tyler is just one of many bloggers at GMU, which is taking a [...] Read more > >

FASB Now Taking Applications for Research Fellowship

As you probably are aware, the Financial Accounting Standards Board recently instituted a Research Fellow Program. This program allows for one academic researcher (like myself) to come to the FASB each year for a 12-month position. In my opinion, having an academic researcher in house is an excellent way to both encourage new policy-oriented research [...] Read more > >

AAA-FASC Writes Congress on Perlmutter Amendment

Here is the text of the letter the AAA Financial Accounting Standards Committee sent to Barney Frank and Spencer Bachus opposing Perlmutter’s amendment, which would allow a newly-created systemic regulator to override GAAP to achieve the goals of financial stability.  Are there any academics who would support such a proposal?  If you disagree with the [...] Read more > >

AICPA Opposes Perlmutter Amendment

I just received an email from the AICPA with the Perlmutter (D-CO) amendment to the Financial Stability Improvement Act of 2009, which gives Congress the right to override GAAP they don’t like.  Not surprisingly, the AICPA opposes it.  Here is the amendment, in all its glory (emphasis mine): “SEC. 1103. PRUDENTIAL OVERSIGHT OF ACCOUNTING PRINCIPLES [...] Read more > >

Stephen Penman Leads Roundtable Discussion

You may know Columbia Business School Professor Stephen Penman as the 14th-most downloaded author on SSRN.  Or you might know him as a Director of the Center for Excellence in Accounting and Security Analysis. Or perhaps as author of Financial Statement Analysis and Security Valuation. More recently, Stephen has been visible as a critic of [...] Read more > >

A new article on FV accounting

Very interesting. http://hbr.harvardbusiness.org/2009/11/is-it-fair-to-blame-fair-value-accounting-for-the-financial-crisis/ar/1?cm_mmc=npv-_-HBR_UPDATE-_-2009-_-NOV Read more > >