The Origin and Early Development of American Dividend Law

Kehl, Donald

doi:10.2307/1334142

Cited by 6 publications

(5 citation statements)

References 0 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…Reflecting the liberal laissez-faire spirit predominant during the 19th century, the United States did not involve the state in the codification of specific accounting requirements, apart from some sporadic statutes on general disclosures, until the 20th century (Littleton and Zimmerman 1962, 94;Hawkins 1963;Hatfield 1966, 171). In the 18th and 19th centuries, the development of accounting techniques lay in the hands of practitioners, whose actions were solely limited by court decisions, mostly dealing with the restriction of dividend distributions when suspecting fraudulent behavior (Kehl 1939;Lee 2020, 161-62). 8 In the environment of a rapidly industrializing and expanding economy in the 19th century, banks served as the major capital providers for US corporations, which often drew on short-term loans to finance their growing capital requirements (Joseph 1911;Chatfield 1977, 72;Baskin 1988, 215-19).…”

Section: Accounting As Unregulated Practice During the 19th Centurymentioning

confidence: 99%

“…Reflecting the liberal laissez‐faire spirit predominant during the 19th century, the United States did not involve the state in the codification of specific accounting requirements, apart from some sporadic statutes on general disclosures, until the 20th century (Littleton and Zimmerman 1962, 94; Hawkins 1963; Hatfield 1966, 171). In the 18th and 19th centuries, the development of accounting techniques lay in the hands of practitioners, whose actions were solely limited by court decisions, mostly dealing with the restriction of dividend distributions when suspecting fraudulent behavior (Kehl 1939; Lee 2020, 161–62) 8…”

Section: The Conceptualization Of Asymmetry In Us Finat Buildingmentioning

confidence: 99%

See 1 more Smart Citation

The Eternal Debate Over Conservatism and Prudence: A Historical Perspective on the Conceptualization of Asymmetry in Financial Accounting Theory*

Orthaus

Pelger

Kuhner

2022

Contemporary Accting Res

View full text Add to dashboard Cite

The recent revisions of conceptual frameworks (CFs) by the IASB and the FASB included changes to the status of prudence/conservatism, accompanied by a broader debate about the meaning and role of asymmetry in financial accounting theory (FinAT). This paper adopts a historical perspective to identify possible sources of the current controversies by examining how the discourse on asymmetry has developed over time. For this purpose, we trace the conceptualization of asymmetry in FinAT building from the 19th century until 2018, covering contributions to the US FinAT literature and the conceptual reasoning of standard setters (and their constituents) in the United States and at the international level. We identify four distinct constructs of asymmetry (ultra‐, specified, discretionary, and neutral asymmetry) developed in FinAT under the headings of “conservatism” and/or “prudence.” Our analysis reveals that the respective historical circumstances strongly influenced which notion and role of asymmetry were commonly accepted in FinAT, while the arguments underlying the debates were going in circles and were characterized by an increasing level of abstraction over time. We conclude that the controversy about asymmetry is partially due to conceptual ambiguity but also due to different assumptions about the objective of financial reporting and attributes of the preparer, which are indicative of two conflicting paradigms shaping the FinAT discourse on asymmetry. Our findings point to gaps and limitations in the deductive CFs currently employed by the IASB and FASB. Our study highlights future research potential regarding the construction of the preparer in standard setting and analyses of the ways in which deductive CFs (fail to) translate into consistent standards.

show abstract

Section: Accounting As Unregulated Practice During the 19th Centurymentioning

confidence: 99%

Section: The Conceptualization Of Asymmetry In Us Finat Buildingmentioning

confidence: 99%

The Eternal Debate Over Conservatism and Prudence: A Historical Perspective on the Conceptualization of Asymmetry in Financial Accounting Theory*

Orthaus

Pelger

Kuhner

2022

Contemporary Accting Res

View full text Add to dashboard Cite

show abstract

“…New York's experience was extreme, but as corporations proliferated, American state legislatures sought to define the rights of these organizations and their stockholders and creditors through an enormous body of statutes. Many states adopted significant portions of New York's 1828 law (Kehl 1939). As the first treatise on American corporation law noted in 1832 (Angell & Ames 1832, p. 357), "the statute books of many states will show that an opinion has strongly and extensively prevailed that the common law relative to commercial corporations is not adequate to their proper regulation and government."…”

Section: Breakdown: Wall Street's First Corporate Governance Crisismentioning

confidence: 99%

History of American Corporate Governance: Law, Institutions, and Politics

Hilt

2014

Annu. Rev. Financ. Econ.

View full text Add to dashboard Cite

This article presents an overview of the history of corporate governance in the United States, emphasizing the period before the advent of federal securities laws and the Securities and Exchange Commission (SEC). Recent research has overturned many widely accepted beliefs about corporate governance during this period. In particular, the evolution of American corporate governance has not followed a simple, linear trajectory, beginning with small, well-governed firms and ending with large, poorly governed ones. Over time, economic and institutional changes have given rise to successive generations of corporations with their own governance problems and their own mechanisms to address those problems. When existing governance mechanisms failed, the United States experienced corporate governance crises—episodes that shattered investors’ faith in corporate management and the legal institutions intended to protect their rights. The resolutions of these crises have sometimes been found in legal innovations and, in other cases, in institutional or market-based solutions.

show abstract

“…New York's experience was extreme, but as corporations proliferated, American state legislatures sought to define the rights of these organizations and their stockholders and creditors through an enormous body of statutes. Many states adopted significant portions of New York's 1828 law (Kehl 1939). As the first treatise on American corporation law noted in 1832 (Angell and Ames 1832, p. 357), "the statute books of many states will show that an opinion has strongly and extensively prevailed that the common law relative to commercial corporations is not adequate to their proper regulation and government."…”

Section: Breakdown: Wall Street's First Corporate Governance Crisismentioning

confidence: 99%

History of American Corporate Governance: Law, Institutions, and Politics

Hilt¹

2014

View full text Add to dashboard Cite

show abstract

The Origin and Early Development of American Dividend Law

Cited by 6 publications

References 0 publications

The Eternal Debate Over Conservatism and Prudence: A Historical Perspective on the Conceptualization of Asymmetry in Financial Accounting Theory*

The Eternal Debate Over Conservatism and Prudence: A Historical Perspective on the Conceptualization of Asymmetry in Financial Accounting Theory*

History of American Corporate Governance: Law, Institutions, and Politics

History of American Corporate Governance: Law, Institutions, and Politics

Contact Info

Product

Resources

About