In 2008, Barak Obama was solidly behind moving the U.S. to IFRS. During his first term he was unsuccessful, and earlier this year the SEC waved the white flag on moving the country to IFRS. So far in this campaign, Obama has not signaled his intentions with respect to future actions on the issue.
In 2008, John McCain emphatically endorsed American control of its own accounting standards. However, this appeared to be a personal stance as opposed to a Republican political position.
I have not been able to uncover any statement by Mitt Romney revealing his position on global accounting standards.
Most Washington observers expect SEC Chair Mary Schapiro to step down shortly after today’s election. The appointment of her successor (and we have had no clues) would say a lot about future U.S. government intentions on who is to set American accounting standards.
With respect to auditor rotation, both candidates are mum. Although it is true that several Democrats threatened legislation banning a PCAOB rule requiring auditor rotation, President Obama has not commented on the issue. Mitt Romney is a client of PriceWaterhouseCoopers. In 2008, the large auditing firms heavily favored Obama with political contributions.
There appears to be no desire from either candidate about changing the status quo on the position of audit firms in the American capital markets. Sigh.
Both candidates have been active in discussing tax policy, but that is not the focus of The Summa.
Debit and credit – – David Albrecht