The Effect of Big Eight Mergers on Auditor Concentration.

Key Points

• The aim is to explore how the mergers of eight large accounting firms affect auditor concentration in the U.S. accounting profession.
• Analyzed prior studies on auditor concentration.
• Examined the effect of proposed and actual mergers among the eight firms.
• Utilized the Herfindahl index to measure concentration in the auditing industry.
• Identified an increase in auditor concentration post-mergers.
• Demonstrated significant implications for competition in the accounting profession.