Conjectures on Colonial Accounting History in Australia

This article analyses three current conjectures regarding Australian accounting history between 1788 and 1817. All relate to double entry bookkeeping. First, that it was practised in Australia before 1817: second, that it was introduced to Australia by Lieutenant John Palmer. RN. in 1788: and third, that its teaching in Australia can be traced to the period 1804–6. Additional conjectures are proposed about the introduction of double entry bookkeeping to Australia and the identity of Australia's first double entry accountant. It is argued that the pioneering of double entry bookkeeping in the colony of New South Wales should not be located before 1810.     

Religion: A Confounding Cultural Element in the International Harmonization of Accounting?

Discussion of the influence of culture on the international development and harmonization of accounting has focused primarily upon indigenous characteristics which are confined within national boundaries. But cultural inputs, such as religion, which transcend national boundaries, should not be overlooked. Islam is a particular case in point. Its principles commit Muslims to a definitive code of ethical commercial and personal behaviour affecting both the structuring and financing of business affairs between the faithful, and between Muslims and non-Muslims. Islam has the potential for influencing the structure, underlying concepts and the mechanisms of accounting in the Islamic world. Its potential for influencing accounting policy is illustrative of religion as a confounding element in the analysis of national idiosyncrasies in accounting practice and in deconstructing the impediments to international harmonization.     

Ripoffs,Lemons, and Reputation Formation in Agency Relationships: A Laboratory Market Study

This paper examines the effect of the moral hazard problem in an agency relationship where the principal cannot observe the level of service provided by the agent. Using data from laboratory markets, we demonstrate that the presence of moral hazard leads to shirking by agents. However, this “lemons” phenomenon occurs only about one-half of the time. While there is evidence of reputation effects in these markets, seemingly reputable agents are often able to use opportunities for false advertising to their advantage and “ripoff” principals.     

A Probit Analysis of Aboriginal Employment Prospects in New South Wales*

Using data from the 1986–87Survey of Working Age Aborigines in New South Wales, this paper presents the results of a probit analysis to determine the characteristics which differentiate employed Aborigines from Aborigines not in employment The results of the probit analysis show the importance of the acquisition of human capital to the employment success of Aborigines, at least in New South Wales. Increments in level of education, previous participation in formal labour market programs, and previous employment experience all have significant, positive impacts on the likelihood of individual Aborigines being in employment     

Wants and Working Wives: Household Demand and Saving in Australia*

Household survey data are used to compare the consumption and savings behaviour of families in which both husband and wife work with the behaviour when only the husband is employed. Other household characteristics allowed for are age, socio-economic class and family size. A linear systems model is used and attention is focused on alternative methods of estimating the parameters of the Klein-Rubin utility function. The preferred method involves the use of information from time-series studies in estimating the ‘subsistence’ parameters.     

Effect of World Fertility Scenarios on International Living Standards

This paper applies a two good, multi‐region Ramsey‐Solow model of the world economy to determine the impact that alternative world fertility rates would have on international capital markets and living standards. Notable features of the model include: relative consumption demands and relative employment efficiencies that vary by age, traded and non‐traded goods, vintage technology, outward‐looking reference consumption, a proportion of non‐optimising rule‐of‐thumb consumers and imperfect capital mobility due to asymmetric information. The model suggests that projected demographic change will imply a flow of international capital from the ageing regions to the younger regions; and that the world interest rate will fall. The lower world interest rate will cause a loss in living standards for ageing regions, the lenders, and a gain for the younger regions, who are borrowers.