Problem
1. Arrow (1963) warns that public participation and a consensual approach to social issues can lead to democratic paralysis; that is, to a failure to act due to an inability to agree on goals or objectives. How did such a situation lead to the demise of the APB (review Chapter 3)? Why is the FASB faring somewhat better?
2. Holmgren (1913) argues that accounting policies are a social-decision and a matter of public interest. Evaluate this statement.
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.