A Multilevel Socio-Technical System: Formation of Government Financial Reporting Quality in China—Survey Evidence from the 2019 Accrual Accounting Reform
Haibo Jia, Jiaming Sun, Can Liu, Weifeng Huang, Wanying SongUsing questionnaire data collected in 2019, this study examines how preparation conditions relate to perceived government financial reporting quality (GFRQ) in the first year of China’s new government accounting system. The multilevel socio-technical systems (MSTS) framework distinguishes departmental reporting as an operational layer and consolidated reporting as an integration layer. Separate respondent-level regressions use 5157 departmental and 672 consolidated questionnaires; they estimate associations within each report type, without testing interactions or information transmission between layers. Policy cognition and institutional support, and information systems and data integration are positively associated with GFRQ in both samples. Accounting foundation and accrual implementation are significant in the departmental sample. The prespecified coordination and supervision index is positive in both baseline models, although departmental inference is sensitive to scoring. These findings describe preparation conditions and quality evaluations in the 2019 survey. Comparisons across report types are descriptive; coefficient equality has not been formally tested. Cross-layer transmission and feedback remain theoretical propositions, while suggestions on responsibility tracing, reconciliation and error correction are directions for subsequent evaluation. The results are bounded by the survey’s institutional and technical context and do not establish later reform outcomes or current governance performance.