REACTION PAPER- ASIAN AND GLOBAL CRISIS

During the Asian and Global Crisis many of the criticisms are against accounting and accountants. In my further readings, I’ve read that during the Asian Crisis in 1997, where affected countries suffered severe setbacks in their economies and where development stagnated, the accountancy profession, including its standards, policies and levels of information disclosures, had played a role in the start of the crisis, and perhaps had even worsened it. Moreover, I’ve also read that during both crises, the Asian Crisis and Global Crisis in 2008, insufficient clarity in what was being measured, the wrong things being measured or things being measured inappropriately, lack of standards, inadequate transparency and poor ethical conduct, in short, poor corporate governance is the main breadth and depth of the crises.

As a future accountant, what will I do after all the doubts and criticisms against the profession? In my opinion, sufficient clarity on what to measure, measuring things appropriately, following the applicable standards, adequate transparency and good ethical conduct are the things that I should carry out.