China's Specific Institutional Context Of Earnings Management Research

Earnings management is a topic of nearly twenty years in western countries. But the study on it in China is the recent things. The reason is, in one side, people pay no attention to profit in planned economy; in other side the highly uniform accounting institution has no space for earnings management. But with the economic reform, development of capital market and the accounting reform,the spread of earnings management has caused accounting information inconsistent with the facts. Which has become the point at issue. This dissertation began its research in such a background. A systematic study of basic theory on earnings management, the intentions, the methods, and the manage measures of earnings management etc.The main part of this dissertation is divided into six parts. The first part explained the raising of the problem and the most recent research achievements; The second part discussed theory summary of earnings management; The third part analyzed system background of earnings management in china; The four part discussed the intentions of earnings management in special system background; The five part posed the methods of earnings management in special system background; The six part raised the manage measures of earnings management in special system background.So conclusion of this article is: Earnings management is different from accounting concocting. Earnings management is a legal behaviour, and it show a powerful life- force. Earnings management has been a basic skill which managers in every area of the world need. But it has dual character: excessive earnings management is harmful to enterprise, to society, and to country. So how to keep watch excessive earnings management is the focus of country supervise and control.