We turn next to assessing the potential impact of the
individual accounting standards on accounting quality,
based on measures of earnings management. Given the
variation in the attributes of the standards summarized
in Table 1, it is likely that these general purpose standards
have differing impacts on commonly-used accounting
quality metrics. We focus on measures of the extent to
which earnings are managed because of the emphasis
placed on earnings management by regulators and the
general public. In later sections and the appendix, we discuss
the specification of the measures that capture the extent
to which earnings are managed in more detail and
provide evidence of the association with the standard-setting
process