Introduction

This chapter aims to arrive at an understanding of the extent and nature of the process of expanding voluntary annual report disclosure attributed to the postwar Netherlands. This phenomenon will be considered by an empirical study of changes in disclosure of individual items and disclosure practices of individual companies. The chapter provides quite definite expressions of the point of view that postwar Dutch reporting displayed a distinctive tendency towards voluntary improvements. In 1984, the adaptation of Dutch law to the Fourth Company Law Directive of the (then) European Communities took effect. The Dutch accounting profession appears to be very effective in showing Dutch companies the advantages which accrue from thorough and realistic disclosure of financial affairs to the public and has helped to create a strong and positive attitude toward accounting among all elements of the business community. The chapter also presents an overview of the key concepts discussed in this book.