Reporting Government Obligation

  • Gwenda R. Jensen
Chapter

Abstract

This paper considers whether present accounting concepts and existing practice support increased recognition of the future costs of social welfare obligations. A review of arguments considered by the Federal Accounting Standards Advisory Board (FASAB) and the New Zealand Treasury indicates that there are major weaknesses in the conceptual arguments for present recognition practice. Governments should expect to experience pressure to increase their recognition of future costs. That pressure will come from the momentum inherent in a change to business (accrual) accounting combined with present political concerns about the future costs of social welfare and social insurance programs. This situation presents research opportunities.

Keywords

Future Cost Balance Date Accounting Practice Financial Account Standard Board Accounting Principle 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

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Copyright information

© Springer Science+Business Media New York 2002

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  • Gwenda R. Jensen

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