Responding to the Times.

Key Points

• This research examines how the 1990s recession affected financial reporting and the behavior of accountants in the U.S.
• Analyzed financial reporting trends during the 1990s recession.
• Investigated the increase in financial statement abuses.
• Explored the impact of economic pressures on accountants.
• Significant growth in financial statement abuses was noted during the recession.
• Problems within the savings and loan industry were exacerbated by economic conditions.
• Human responses to economic pressures led to unethical financial reporting practices.