Financial Accounting Revolution Essay

This paper suggests that financial accounting thought is undergoing a revolution. As many scientific theories both describe and prescribe phenomena, so many accounting theories describe and prescribe financial phenomena. New ideas have been proposed and debated and new school of thoughts have been emerged. The priori research has been criticized in 1960 and regarded as having doubtful value. But it has been argued in the paper that priori research has helped in overthrowing existing ideas. If an existing institutions ceased adequately to meet the needs posed by an environment. An alternative set of ideas have been proposed and debated and school of thought are beginning to emerge. There are five important stages involved in this revolution. Each group uses its own paradigm to argue in that paradigm’ defence. There are different features that distinguishes different disciplinary matrix as each one has its own preferences and set of beliefs. A disciplinary matrix is a set of belief that …show more content…
It means there is not a gradual change but a revolution emerges and it results in change of ideas. His view is that knowledge advances when one theory is replaced by another as particular researcher attacks the credibility of an existing paradigm. It begins a crisis. Each group tries to argue in favour of their own paradigm and this revolution is strongly resisted by the established community. Kuhn compares scientific revolution to political revolution. They both start when the individual or a set of people feel that existing institutions have ceased to meet the problems posed by an environment. So different groups are formed and each defend its own institution. Yes it makes sense as new ideas are strongly attacked by the existing school of thought. As a result polarisation occurs. But with the passage of time parties to a revolutionary conflict finally resort to the techniques of mass