Title: Accounting and the state in post-communist Romania

Authors: Adela Deaconu; Dan Dacian Cuzdriorean

Addresses: Department of Accounting and Auditing, Faculty of Economics and Business Administration, Babes-Bolyai University Cluj-Napoca, 58-60 Th. Mihali Street, Cluj-Napoca, 400591, Romania ' Department of Accounting and Auditing, Faculty of Economics and Business Administration, Babes-Bolyai University Cluj-Napoca, 58-60 Th. Mihali Street, Cluj-Napoca, 400591, Romania

Abstract: This research integrates Broadbent and Laughlin's (1997, 2005, 2013) views on societal transformation while aiming to discover the state's influence over accounting - through accounting regulations issued as an absolute standard setter - during the transformation process of Romania from a communist centralised economy to a market economy. Using an interpretative qualitative methodology, this research demonstrates the dominant role of the state on accounting and the internal colonisation of organisations' financial reporting, simultaneously with accounting 'lifeworld' in the early post-communist period. The study proves that this relationship had the tendency to change over time into an evolution-type relationship, and the societal institutions' actions are getting closer to values and beliefs accumulated by accounting professionals. This is mainly due to the emergence of other societal mechanisms on the financial reporting market, such as the accounting profession and the financial institutions. International Financial Reporting Standards are a contributor to the decrease of the state's influence.

Keywords: post-communist countries; Romania; tax-accounting link; accounting regulations; Laughlin and Broadbent; professional accountants; internal colonisation; IFRS influence; International Financial Reporting Standards; professional institutions; financial institutions; evolution type changes; societal transformation; state influence; government influence; financial reporting.

DOI: 10.1504/AJAAF.2016.077600

African Journal of Accounting, Auditing and Finance, 2016 Vol.5 No.1, pp.59 - 93

Received: 18 Mar 2016
Accepted: 22 Apr 2016
Published online: 06 Jul 2016 *

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