Tuesday, July 28, 2009

Interview on XBRL Blog

The XBRL Blog just published an interview that they did with us this week. They got a couple of very good questions in there, such as “Could XBRL help to prevent some future financial crisis?”, so make sure you head to their site to read it all

2 comments:

Paul said...

Interesting and realistic answer to the financial crisis question. One other thought: to the extent XBRL helps reduce overhead costs of processing information, that frees up capital for more productive investment. More capital for more productive investment means greater overall wealth is created. So while XBRL doesn't mitigate greed (although well-implemented, it should help expose it faster), and it may not even mitigate the delta that results from the bursting of a particular bubble, all things being equal, the bubble will be built upon a bigger economic foundation. So, even if the crisis delta is just as large in an XBRLized world as it is in a dead tree format world, the delta will be subtracted from a larger number -- meaning (GDP(XBRL)) - (GDP(XBRL)(Crisis)) > (GDP - GDP(Crisis). In other words, even though the crisis might feel just as bad in an XBRLized world, the bottom won't be as deep as it would have been in a dead tree world. Just a thought....

Juhi said...

XBRL enabled analytical applications for their persistent analysis of company submissions. The incremental capabilities enabled by XBRL are provided in two areas: 1. incrementally more correct, timely and accurate data available for analysis from the company XBRL submissions that was previously available via traditional reporting / parsing processes; and 2. collaborative modeling and analytical capabilities provided by the formula standardization.