How does harmonization differ from convergence?

2. Do you see a major change of emphasis in the harmonization process since the establishment f the IASB? Explain

Harmonization is the process where the two standards (US GAAP and IFRS) is made to be similar to each other by implementing updates to their respective standards. As of now, this is the step undertaken by the board of the two accounting standards as they do not have intentions yet of converging. Convergence is undertaken by proposing updates to the standards so that US GAAP and the IFRS follow the same accounting rules. Accounting is mostly judgment, and differing views about certain transactions gave rise to these different standards. As these views have their own merits, it is very difficult to pinpoint at what point would they agree on each other's perspectives and create a unified standard. IFRS is gaining popularity in the rest of the world, while the United States is still sticking into US GAAP.

We hope that in the future, a single standard setting body may be created in order to create unity in terms of the manner of recording transactions and to reduce confusion in accounting policies when an accountant moves from one territory to another. This will create additional opportunities for all accountants who do not need to learn the standards of another standard setting body to be able to work overseas. Aside from creating new standards from the ever changing business setting, the boards should also start now on unifying their standards.