We specialize in Accounting Research, conducting two types of research:

1. Positive Research: This branch of academic research in accounting aims to explain and predict actual accounting practices.
2. Normative Research: In contrast, normative research seeks to derive and prescribe “optimal” accounting standards.

Researchers in accounting employ the scientific method to explore cause-and-effect relationships, providing a systematic model for documenting results. The more precise the documentation of methods, the better others can replicate the experiment.

Accounting research has evolved over time. Early accounting research, before the 1960s, primarily focused on standardizing, advocating for the “right” accounting treatment. The emergence of the Journal of Accounting Research, advancements in finance, the creation of extensive databases, statistical analysis capabilities facilitated by computers, and pivotal works like Ball and Brown’s in 1968 led to a shift towards positive research—examining what is rather than what should be. Despite criticisms, this shift has significantly increased research output and spurred the creation of numerous new journals.