Economic Effects Of Internet On Financial Corporate Reporting
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Abstract
In this study, we examine two of the most significant economic implications that the Internet has brought about for financial accounting and transparency. To begin, the introduction of the Internet has altered the prices of information processing, and along with it, the demand and supply of financial information in the capital markets. Second, the reporting of financial information over the Internet generates a need for standardization, which has been addressed by the creation of the XBRL format. Even though XBRL was developed to standardize merely the structure of information, some people believe that it will also standardize the information's substance. In its last section, the article addresses the problem of ensuring high quality financial reporting through the internet.
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References
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