Economic Policy Uncertainty And Implicit Choice Of Development Expenditures Accounting Policy

China's Ministry of Finance promulgated new accounting standards in 2006,of which the No.6 standard “Enterprise Accounting Standards – Intangible Assets” has clearly defined the processing of R&D expenses.It mainly draws on the treatment of international accounting standards and will make R&D expenditures.Adjusted from “full expense” in the old accounting standards to “conditional capitalization”.The capitalization of development expenditure makes the accounting information more real and reliable as well as scientific.Relevant accounting information users can make more accurate judgments on the research and development of enterprises and the profitability of intangible assets.However,due to the ambiguous gray area in the policy,the specific implementation of the policy requires strong subjectivity and professional judgment,which creates opportunities for management to manage earnings.It may reduce the credibility of accounting information and weaken the quality of its accounting information.Therefore,research on how to make development expenditure accounting policy choices is of great theoretical and practical significance for promoting the company's future development.Since the beginning of the financial crisis in 2008,problems such as overcapacity and slow macroeconomic growth have emerged.As an important means of regulating the economy,the government has frequently introduced and adjusted various economic policies to optimize resource allocation.At present,China's economic development has entered the "new normal",emphasizing the sustainable development based on the symmetry of economic structure."Three eliminations,one reduction and one supplement" is the key to supply-side structural reform.In the past,the article mainly focused on the impact of economic policy adjustment on the company's R&D investment,cash holding level,corporate investment,and executive change.Little domestic literature pays attention to the impact of economic policy uncertainty on the development of accounting policies for development expenditure.In addition,this paper analyzes the direct impact of economic policy uncertainty on the company's choice of development expenditure accounting policy choices,and also analyzes the role of external audit supervision and cash holding level.At the same time,this paper further analyzes the differences between state-owned and non-state-owned enterprises in the choice of accounting policies for development expenditure under the nature of property rights.This paper uses China's economic policy uncertainty index to measure the degree of uncertainty in China's economic policy.Meanwhile,manually collect development expenditure accounting policy implicit selection related data.This dissertation takes China's 2010-2016 Shanghai and Shenzhen A-share listed companies as a research sample,and establishes a logistic regression model to explore the relationship between economic policy uncertainty and development expenditure accounting policy implicit choice.The relationship between the implicit choice of expenditure accounting policy and the relationship between the external audit supervision and the cash holding level grouping in the economic policy uncertainty affecting the company's development expenditure accounting policy implicit choice,the results are mainly listed.There are:(1)When the uncertainty of economic policy is greater,enterprises are more inclined to choose to capitalize development expenditure.Further analysis found that this promotion is more pronounced in non-state-owned enterprises.(2)The greater the uncertainty of economic policy,compared with the accounting firm's four major international companies,not the four major enterprises are more inclined to choose to capitalize development expenditure.(3)The greater the uncertainty of economic policy,the higher the level of cash holdings,the more likely to choose to capitalize development expenditures.Based on the above research conclusions,this paper puts forward relevant suggestions and opinions from three aspects: improving accounting standards,strengthening external supervision,and strengthening internal system construction.In addition,the possible innovations of this paper are mainly as follows: First,it provides a new perspective for the study of the influencing factors of the implicit selection of expenditure accounting policies.Most of the existing literatures study the impact of uncertainty on the micro-behavior of enterprises.This paper focuses on the impact of macroeconomic policy uncertainty on the choice of accounting policies for development expenditures,and increases the uncertainty of macroeconomic policies for enterprises.Decision-making affects research in this area.It has enriched the research on the influencing factors of implicit selection of development expenditure accounting policies.Second,this paper further discusses the relationship between economic policy uncertainty and implicit choice of development expenditure accounting policies according to the nature of property rights.It is conducive to enterprises to choose accounting policies in accordance with their own circumstances.