Study On Improvement Of The China’s CPA Audit Market Access Regulation

Market failure inevitably calls for governmental regulation and governmentalregulation can be divided into the regulation of market access and regulation ofbehavior. In the field of certified public accountant (CPA) auditing，because of thecharacteristics of the audit report being public goods and the different degree ofinformation asymmetry distribution，so，strengthening the regulation is the main choiceto ensure the quality of audit. The market access is the first line of defense to ensurethe quality of audit. But，with the development of audit market，the regulation ofmarket access also exposed some problems. For this，both in theory and practice itneed to be further system research.In this paper， from the basic theory of regulation， combined with thecharacteristics of the CPA audit，we analyze the theory and economic consequences ofCPA audit market access system.At the same time，this paper systematically examinesthe existing settings of CPA audit laws and regulations，and finds problems of CPAregulation of market access. For example，the requirements of accounting firms andauditors are not suitable；the implementing defect in the regulation of market accessetc. In face of the problems existing in the regulation of CPA audit access of ourcountry，we found that not correctly handling the relationship between access controland behavior control is the more important reason. Then we put forward severalcountermeasures and suggestions realizing the optimum governmental regulationwhich benefits the sound development of CPA audit in our country，such as，settingassorted access：improving the qualification standards of CPA and accounting firmowners；establishing the evaluating system；strengthen the supervision of audit quality.