A Review of Relevant Theories in International Public Sector Accounting Standards Research and the Motivation for Theoretical Pluralism

Abstract

International Public Sector Accounting Standards (IPSAS) have been the focus of numerous research endeavours over the past years. Researchers of IPSAS have employed various theoretical underpinnings till now. However, academics frequently comment on the need for a proper theoretical framework for Public Sector Accounting (PSA) reform research. This study aims to review the theoretical foundations applied in IPSAS research. This study mainly focuses on the theories deployed in IPSAS-based PSA reform research and how these theories are employed to explain the phenomenon of PSA. Several publications from renowned journals published between 2000 and 2023 on the IPSAS were selected and reviewed in a structured way. The study finds that while half of the reviewed papers have utilized a single theory, a significant number of papers (28%) lack a theoretical framework. In addition, it is revealed that about 21% of reviewed papers have used multiple theories. The novelty of this study lies in the discussion of the theory used in IPSAS-based PSA research. Moreover, it discusses the motivation of multiple theories. This study enhances the body of knowledge of PSA and offers valuable insights for researchers, academicians, and PSA policymakers. In addition, the findings of this study contribute to the broader debate on the application of multiple theoretical lenses in IPSAS research.