The relationship between auditor characteristics with intellectual capital and knowledge-based economy

The current study investigates the relationship between intellectual capital and knowledge-based economy indexes with auditor characteristics. The knowledge-based economy indexes include innovation, human resources and education, information and communication infrastructure, and economic and institutional regimes. Auditor characteristics include auditor accuracy, auditor specialization in the industry, auditor interlock, and auditors’ financial independence. The method of the study is descriptive correlational research. It is based on the companies' information on the Tehran Stock Exchange from 2012 to 2018. The sample consists of 187 companies (1310 observations). The method to test the hypotheses is linear regression using panel data. The results indicate a positive and significant relationship between intellectual capital and knowledge-based economy indexes with auditor characteristics. Therefore, improving intellectual capital and knowledge-based economy indexes enhances the auditor’s characteristics. This study presents valuable insights concerning the impact of intellectual capital and a knowledge-based economy on auditors' characteristics, especially in Iran’s emerging financial market, with serious competition in the audit market.