An African critical interpretation of the positive theory of accounting of Watts and Zimmerman (1978, 1980, 1986) Online publication date: Thu, 31-Jul-2014
by Louis Ndjetcheu
African J. of Accounting, Auditing and Finance (AJAAF), Vol. 1, No. 1, 2012
Abstract: The positive theory of accountancy is not new in research in accountancy in developed countries. In fact, it started from the 1960s (Jensen, 1976; Watts and Zimmerman, 1978) and regularly comes up to the scene due to numerous financial scandals of managers nowadays. However, this cannot constitute unanimity. Assumptions at the base of this theory are quickly limited when transposing models to sub-Saharan African countries. In this respect, the objective of this article is to show the difficulties of transposition of the models elaborated in the contexts of developed countries into African countries with different environmental specificities. It is a question of seeking, in a context marked by a strong presence of companies with capital concentrated in the hands of an individual or a family on the one hand and by near absence of money market if not of an embryonic money market, new assumptions that can explain administration options of managers in Africa.
Existing subscribers:
Go to Inderscience Online Journals to access the Full Text of this article.
If you are not a subscriber and you just want to read the full contents of this article, buy online access here.Complimentary Subscribers, Editors or Members of the Editorial Board of the African J. of Accounting, Auditing and Finance (AJAAF):
Login with your Inderscience username and password:
Want to subscribe?
A subscription gives you complete access to all articles in the current issue, as well as to all articles in the previous three years (where applicable). See our Orders page to subscribe.
If you still need assistance, please email subs@inderscience.com
Our Blog 
Follow us on Twitter 
Visit us on Facebook