An Analysis Of The Relevance Structure Of Accounting System

In the Neo-classical economics, trade agreements can be characterized by two variables, namely, price and quantity. However, due to the presence of transaction costs, the transaction contract operation mode in the real world can not reach a new classical economics results. Transaction costs of research began in Kos. The system is an important factor affecting transaction costs, therefore, Kos has become one of the founders of the new institutional economics. Since then the institution has started to become an important variable in economic analysis.Although the institution has become an important variable in economics, in a different economic theory, institutions have different definitions. "Until recently, economists are satisfied to a vague definition of institution (Masahiko Aoki)." In the accounting field of study of our nation, new institutional economics are widely quoted and there are a lot of new institutional economics literature in the field of accounting, but there is not a unified understanding of the definition of institution, making the accounting field of study of the institution lack of a uniform basis. "The Economists seem to agree that 'institution is important', but unless institution is defined and how they form are known, recognizing the important of institution can be nothing. (Masahiko Aoki)."In the theory of comparative institutional analysis, Masahiko Aoki have been defined the institution in the framework of game theory, and analyzed issues such as institution formation, evolution of institution, and diversity of institution. Comparative institutional analysis has become an important paradigm of institutional analysis. Comparative institutional analysis has been applied to the accounting system analysis in this paper, such as the definition of accounting system,the relevance between accounting system and other social and economical system in China, the interaction between the introduction of fair value accounting and other corporation contractual in China.Finally preliminary analysis will be made in the field of international convergence of accounting standards and the problems associated with diversity of institution in the world.