COMPANY ACCOUNTS AND COUNTRY ACCOUNTS

Are there any real differences between company accounts and country accounts ?  It is certain generally accepted accounting principles should be applied to set up accounts.  

The next stage is to report the results to shareholders or, in the case of National Accounts, to electors ! 

Company Directors are obliged to report formally every year at Annual General Meetings.  Company directors are fired and new ones hired if shareholders so wish.

National Accounts are "explained" continuously during   the term of Government and/or the term of the "Presidency".  This can often cover a period of 4, 5, or 6 years.  The accounting rules used stretch the imagination of "historical accounting" professionals like me ! But electors finally have their say !  They vote !  The Government then stands or falls. 

If Company Accounts are wrong, a liquidation could follow !  If National Accounts are wrong, the next elected Government will quickly realise that, what it planned to attain must be delayed.  If there is no money election promises must normally wait.

Many EUROZONE countries are facing dilemmas.  These dilemmas originate mainly from the blind defence of the "EURO" which forbids countries to withdraw from the "EURO".  A subsequent adoption of a new local currency followed by a devaluation, is totally forbidden. 

EUROZONE accounting principles are rigid but flexible at the same time. These are what one can describe as being "Political Accounting Principles" !  Alternatively they are "fexible" management principles.  There is always a "margin" to delay the finality of a EUROZONE
collapse !

This explains why the result of the German General Elections on 22, September 2013 is so nervously awaited.  What will happen afterwards ?  Will German EURO financing suddenly dry up ?

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