Discussion/Posts: Changes in audit environment

Changes in audit environment for public accounting industry
I would say that the public accounting profession experienced unprecedented changes in regulations with the collapse of Enron and Arthur Anderson. In a sense, we saw a distinctive shift in regulatory environment if you compare the pre-Enron (self regulation by AICPA) period with the post-Enron (outside regulation by PCAOB & SEC). Since we all know about the cause of the change (a series of audit failures), we better focus on the implications of the current regulatory environment.
The first reading is a link to wiki summary of Sarbanes-Oxley Act.The second link is on the final rule from SEC on improving auditor independence.  The third link is for website of Public Company Accounting Oversight Board created by Sarbanes-Oxley Act.
Let’ discuss the following issues that are related to above readings (For the SEC rule, you may read executive summary & background information sections only – it is quite long):
(1) Do you think the current regulatory environment would be effective in improving the quality of financial reporting and F/S audit?
(2)Why do you think the US congress & SEC always try to create an independent, nonprofit, & nongovernmental board to control public accounting profession (like FASB & PCAOB)? Why would they want oversight, instead of direct control?
Two questions above are inter-related somewhat, so you may post your opinion on one question that may effectively answer for the other question. By no means, you don’t need to answer all questions.