ACCOUNTING CHOICE AND A THEORY OF CRISIS: THE CASES OF POST-PRIVATIZATION BRITISH TELECOM AND BRITISH GAS
Abstract In examining the accounting choices of two UK utilities, it is argued that positive accounting theory is devoid of explanatory power. In its place the paper proposes a neo-Marxist theory of crisis management, largely based on the work of Habermas. It analyses the financial statements of British Telecom and British Gas, and shows how their accounting choices may be more satisfactorily explained as responses to avoid crises that otherwise might be faced by these two entities in the general context of crisis tendencies in the UK socio-economic system. © 1997 Published by Elsevier Science Ltd Editorial Note . Since preparing this version of the paper, Tony Puxty has died. Prior to his death, the paper had been sent back for relatively minor revisions. Although these were not undertaken, the reviewers and myself think that the paper should be published. We do this hoping that it will serve to remind us of a serious and thoughtful scholar of accounting whose wisdom and contributions are very much missed.