Research On Quality Of Accounting Information Based On Institutional Economics

The poor quality of accounting information damages the interests of investors and even has seriously hampered healthy development of China's market economy. This paper focuses on study of the quality of accounting information so as to seek effective measures to improve the quality.This paper reviews the study situation of quality of accounting information, which is based on the Market Validity Theory. In the light of international standards, China's structured standards system for quality of accounting information is established. From the institutional economics view, the factors of the quality of accounting information are comprehensively analyzed, including the consummate extent of the governance nature of enterprises, the internal control system and external regulation system, which is one of the innovations in the paper. Since the improvement of accounting information quality is the key to resolving property rights of accounting information, and through ownership share, regulation of the government and moral restriction, property rights of accounting information can be defined ,which could improve the quality of accounting information and promote cooperation of the main interests. The poor quality of accounting information is the result of pursuing their own best interests, so we use game theory to analyze the stake holder's game process so as to provide mathematical support for improvement measures of accounting information quality. Then changes of the new accounting standards and their effective influence are given, interaction among accounting standards, game of property rights and quality of accounting information is analyzed,which is another innovation.Based on the above analysis, we put forward a basic idea from the both the supply and demand side, from the interior to the exterior of enterprises to improve the quality of accounting information,including establishing a corporate governance structure grounded on incentive mechanism, supervision and market mechanism , improving internal control system, perfecting accounting standards system and improving the external regulation system, striving to control accounting information quality in the entire process of producing, processing and exporting so as to improve the quality of accounting information .