Report on basic historical method

              Vol. 3, No. 2 © The Academy of Accounting Historians 1980 Fall, 1980
REPORT ON BASIC HISTORICAL METHOD
by
The Academy of Accounting Historians Research Committee
Diana Troik Flamholtz, Chairperson
Loyola Marymount University
In 1970 the Committee on Accounting History
of the American Accounting Association defined
accounting history in the following way: the study
of the evolution in accounting thought, practices,
and institutions in response to changes in the
environment and societal needs. It also considers
the effect that this evolution has caused on the
environment. Although the 1970 committee
defined the parameters of accounting history, just
how such "study" was to be conducted was not
really dealt with. Because most of the work in
accounting history is done by accountants who may
have little training in history, the Academy of
Accounting Historians has asked the Research
Committee to deal with questions of methodology.
The purpose of this report is to provide guidance
to researchers in accounting history who may not be
familiar with some of the research methods used by
historians. This report concentrates on some basic
concepts in historical methodology; a second report
will focus on other techniques and specific areas of
study. The material presented here is not new, but
it is hoped that a concise summary of basic ideas
will be helpful to accountants who may not have
the time to delve into the various works available
on historical methodology.
Nature of Historical Evidence
History, as a discipline or field of study, has
developed a set of methods and concepts by which
historians collect evidence of past events, evaluate
that evidence, and present a coherent and
meaningful discussion of it. Although complete
knowledge of complex human events seems nearly
impossible, the researcher can hope for sufficient
knowledge to permit an explanation or
interpretation of the data. The value of the
interpretation depends on the availability of
adequate data, analysis of this evidence in context
of the events, the condition of the sources, and on
the methodological training of the investigator.
The nature of historical evidence therefore is
crucial in dealing with historical research. There are
numerous ways of categorizing historical evidence;
the following grouping is not all-inclusive but
should be useful to those working in accounting
history.
A. Primary Works
Primary works are original source materials for
historical fact—tangible materials which existed at
the time the historical event was taking place and
which aid in describing it. They include such items
as eyewitness accounts, diaries, letters, and public
documents (laws, treaties, business records, court
decisions, etc.). They may include photographs
and newsreels, as well as artifacts discovered by
archaeologists. Stamps, coins, seals, wills, or any
material if it is in its original, untampered form,
can be classified as primary source material.
Written original sources do not have to be in
their original manuscript form. However, a primary
work cannot be edited, other than in organization,
and still be classified as a primary work. For
example, published collections of the
correspondence of a chief accountant of the SEC are
primary materials, even though the compiler has
probably arranged them in some sort of order,
either chronologically or by subject. However, an
interpretation of that correspondence, even though
The Accounting Historians Notebook, Fall, 1980 (continued on page 8) 1
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