Investment and Determinants of Investment Cash Flow Sensitivity : Evidence from Privately Listed Chinese Firms

• 발행기관: 한국유통과학회
• 저자명: Yi Chang Chen Huo Lien Tsai Yanzhang Qiu Linna Deng Lin Yu
• 간행물 정보: 『KODISA ICBE (International Conference on Business and Economics)』2017 International Conference on Business and Economics (ICBE 2017), 149~151쪽, 전체 3쪽
• 주제분류: 경제경영 > 경제학
• 파일형태: PDF
• 발행일자: 2017.07.06

영문 초록

This study examines firm-level capital investment efficiency and the determinants of investment cash flow sensitivity (CFS). Using financial and ultimate ownership structure data from China, we show that privately listed Chinese firms with high accounting quality tend to increase investment expenditures and have underinvestment problems. Previous studies have claimed that a positive relation exists between investment and cash flow in China, but our results do not support high investment-CFS caused by agency costs. By contrast, our results suggest that firms with high investment-CFS may be highly constrained financially. We also find that a negative relation exists between investment opportunity and investment-CFS. In addition, younger firms face higher investment-CFS.

목차

Abstract

1. Introduction

2. Literature Review and Hypothesis

2. Methodology and Data

3. Results

4. Concluding Remarks

References

키워드

Accounting Quality Investment-Cash Flow Sensitivity Kaplan-Zingales Index Agency Problem