After Enron Lessons for Public Policy

by Niskanen, William A.; Benston, George J.; Edwards, Chris; Mahoney, Paul; McNamar, R T.; Pritchard, Adam C.; Reynolds, Alan; Rodriguez, L Jacobo; Weaver, Paul H.

• ISBN13: 9780742544338
• ISBN10: 0742544338
• Format: Hardcover
• Copyright: 2005-04-29
• Publisher: Rowman & Littlefield Publishers

Summary

After Enron addresses the major lessons about accounting, auditing, taxation, and corporate governance that are illustrated by the collapse of Enron and other recent major corporate scandals. The book then develops a set of proposals for changes in public policy that would lead accountants, bankers, board members, lawyers, and corporate managers to better serve the interests of the general public.

Table of Contents

Preface	vii
1 A Crisis of Trust	1	(10)
William A. Niskanen
Part I. Early Private and Public Responses to the Corporate Scandals	11	(34)
2 Major Private Responses	13	(5)
William A. Niskanen
3 Political Responses to the Enron Scandal	18	(29)
Alan Reynolds
Part II. Accounting	45	(40)
4 Don't Count Too Much on Financial Accounting	47	(8)
William A. Niskanen
5 Corporate Accounting before and after Enron	55	(32)
George J. Benston
Part III. Auditing	85	(156)
6 Don't Count Too Much on Auditing	87	(2)
William A. Niskanen
7 The Formal Audit Process	89	(12)
George J. Benston and William A.Niskanen
8 The Market Analysts	101	(4)
William A. Niskanen
9 Public and Private Rule Making in Securities Markets	105	(20)
Paul G. Mahoney
10 Should Congress Repeal Securities Class Action Reform?	125	(22)
Adam C. Pritchard
11 The Business Press as a Corporate Monitor: How the Wall Street Journal and Fortune Covered Enron	147	(24)
Paul H. Weaver
12 Lawyers as Corporate Monitors	171	(27)
R.T. McNamar
13 Bankers as Corporate Monitors	198	(20)
R.T. McNamar
14 The Credit Rating Agencies	218	(13)
L. Jacobo Rodriguez
15 The SEC as a Corporate Monitor	231	(10)
R.T. McNamar
Part IV. Taxation	241	(94)
16 Our Tax System Is a Major Part of the Problem	243	(2)
William A. Niskanen
17 Compensation, Journalism, and Taxes	245	(38)
Alan Reynolds
18 Replace the Scandal-Plagued Corporate Income Tax with a Cash-Flow Tax	283	(52)
Chris Edwards
Part V. Corporate Governance	335	(18)
19 Corporate Governance	337	(16)
William A. Niskanen
Part VI. Major Policy Lessons from the Collapse of Enron	353	(22)
20 Major Policy Lessons from the Collapse of Enron	355	(20)
William A. Niskanen
Index	375	(20)
About the Editor and Contributors	395