题目：The Effect of the Big 4 and Non-Big 4 Audit Market Concentration on Audit Quality
主讲人：Lili Sun（The University of North Texas）
时间：2015年6月15日上午8：30-10：00
地点：主楼216
主讲人简介：
    Lili Sun, associate professor of accounting, joined the University of North Texas faculty in 2008. She received her undergraduate degree from Peking University in China, and Ph.D. from the University of Kansas. Her primary teaching interest is financial accounting at undergraduate and graduate levels. Her current research interest are in the areas of auditing, financial reporting quality, and internal controls over financial reporting.Dr. Sun’s publications have appeared in academic journals including Journal of Accounting and Economics, Journal of Management Information Systems, Auditing: A Journal of Practice and Theory, Journal of Accounting and Public Policy, and Journal of Business, Finance and Accounting.
内容简介：
    Existent literature regarding the effect of audit market concentration on audit quality, based upon U.S. or cross-country data is inconclusive. This study explores the effect in a fresh setting - China metropolitan audit market where the Big 4 audit firms’ market shares are significantly lower than those in U.S. and many other developed markets and the non-Big 4 (mostly domestic Chinese) firms are growing rapidly in size under the help of a series of recent Chinese regulations. We use audit adjustment based upon a proprietary database to proxy for audit quality. We find that the Big 4 market concentration in China is harmful to audit quality - clients are less likely to experience the incidence of audit adjustment if they are located in metro markets with more shares held by Big 4 auditors and more disproportionate distribution of shares within the Big 4 group. However, the non-Big 4 firms’ concentration is beneficial to audit quality - clients are more likely to have audit adjustment in metro areas where shares are more disproportionally distributed in the non-Big 4 market. Overall, these results are consistent with the notion held by regulators around the world that promoting market participation of non-Big 4 audit firms and providing much needed competition to the Big 4 improve audit quality. Further, the effect of the Big 4 concentration on audit quality could be sensitive to the type of institutional and regulatory environment under which the effect is examined. For instance, the Big 4 concentration could still be harmful even in a legal jurisdiction, such as China, with relatively low Big 4 dominance.


（主办：会计系）