Arguments for and Against the Convergence of International Accounting Standards Arguments for the convergence are (a) renewed clarity, (b) possible simplification, (c) transparency and (d) comparability between different countries on accounting and financial reporting. This will result in an increase of capital flow and international investments, which will further reduce interest rates and lead to economic growth for a specific nation and the firms with which the country conducts business. Timeliness and the availability of uniform information to all concerned stakeholders will also conceptually make for a smoother and more time-efficient process. Additionally, new safeguards will be in place to prevent another national or international economic and financial meltdown. Arguments against accounting standards convergence are (a) the unwillingness of the different nations involved in the process to collaborate based on different cultures, ethics, standards, beliefs, types of economies, political systems, and preconceived notions for specific countries, systems, and religions; and (b) the time it will take to implement a new system of accounting rules and standards across the board.
What are similarities and differences between GAAP and IFRS? - Quora