The corporate governance of listed companies is the focus and hot spot of financial research in recent years. Using a sample of A-share listed firms in China for the period 2003-2015, the paper investigates corporate governance on the relationship between industrial over-investment and the over-investment. The results show that: (1) The information transparency restrains the positive relationship between industrial over-investment and the next period of over-investment. (2) Major shareholder increases the positive relationship between industrial over-investment and the over-investment.
| Published in | Journal of Investment and Management (Volume 6, Issue 1) |
| DOI | 10.11648/j.jim.20170601.19 |
| Page(s) | 56-59 |
| Creative Commons |
This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited. |
| Copyright |
Copyright © The Author(s), 2017. Published by Science Publishing Group |
Over-investment, Industrial Over-investment, Information Transparency, Major Shareholder
| [1] | Huang Jun, Chen Xinyuan, Zhang Tianshu. Research on the contagion effect of corporate performance, World management, 2013, (3): 111-118. |
| [2] | Jensen M C. Agency Costs of Free Cash Flow, Corporate Finance and Takeovers, American Economic Review, 1986,76(2):323~329. |
| [3] | Parrino R. CEO Turnover and Outside Succession: A Cross - sectional Analysis [J]. Journal of Financial Economics, 1997, 46 (2): 165~197 |
| [4] | Zhao Chunxiang, Zhang Dunli. Research on the Relationship between Managerial Power and Enterprise Investment from the Perspective of Market Competition [J]. Accounting Research, 2013, (10): 67-74+97. |
| [5] | Yu Honghai, Xu Longbing, Chen Baizhu. Ultimate Controlling Shareholder Control and Free Cash Flow Over-investment [J]. Economic Research, 2010, (08): 103-114. |
| [6] | Li Xiaorong, Dong Hongye, Zhang Ruijun. Does Corporate CEO Power Influence Bank Lending Decisions? [J]. Finance and Trade Economics, 2015, (07): 81-95. |
| [7] | Foucault T, Fresard L. Learning from Peers’ Stock Prices and Corporate Investment [J]. Journal of Financial Economics, 2013, 111(3): 554-577. |
| [8] | Richardson S. Over-investment of Free-cash Flow [J]. Review of Accounting Studies, 2006, 91(2): 159~189. |
| [9] | Dechow P M, Sloan R G. Sweeney A. P. Detecting Earnings Management [J]. The Accounting Review, 1995, 70: 193-225 |
| [10] | Shen Huihui, Yu Peng. Wu Liansheng. State Owned Shares, Environmental Uncertainty and Investment Efficiency [J]. Economic Research, 2012, (7): 113-126. |
| [11] | Zhang Dunli, Jiang Xinfeng. Manager's Power, Property Right and Enterprise Investment [J]. Journal of Zhongnan University of Economics and Law, 2016, (5): 82-90. |
APA Style
Su-yuan Tian, Ping Ye, Ke Gao. (2017). The Research of Corporate Governance, Industrial Over-investment and Corporate Over-investment. Journal of Investment and Management, 6(1), 56-59. https://doi.org/10.11648/j.jim.20170601.19
ACS Style
Su-yuan Tian; Ping Ye; Ke Gao. The Research of Corporate Governance, Industrial Over-investment and Corporate Over-investment. J. Invest. Manag. 2017, 6(1), 56-59. doi: 10.11648/j.jim.20170601.19
AMA Style
Su-yuan Tian, Ping Ye, Ke Gao. The Research of Corporate Governance, Industrial Over-investment and Corporate Over-investment. J Invest Manag. 2017;6(1):56-59. doi: 10.11648/j.jim.20170601.19
Share This Article
Twitter
Linked In
Facebook
Copy
Download@article{10.11648/j.jim.20170601.19,
author = {Su-yuan Tian and Ping Ye and Ke Gao},
title = {The Research of Corporate Governance, Industrial Over-investment and Corporate Over-investment},
journal = {Journal of Investment and Management},
volume = {6},
number = {1},
pages = {56-59},
doi = {10.11648/j.jim.20170601.19},
url = {https://doi.org/10.11648/j.jim.20170601.19},
eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.jim.20170601.19},
abstract = {The corporate governance of listed companies is the focus and hot spot of financial research in recent years. Using a sample of A-share listed firms in China for the period 2003-2015, the paper investigates corporate governance on the relationship between industrial over-investment and the over-investment. The results show that: (1) The information transparency restrains the positive relationship between industrial over-investment and the next period of over-investment. (2) Major shareholder increases the positive relationship between industrial over-investment and the over-investment.},
year = {2017}
}
TY - JOUR T1 - The Research of Corporate Governance, Industrial Over-investment and Corporate Over-investment AU - Su-yuan Tian AU - Ping Ye AU - Ke Gao Y1 - 2017/06/06 PY - 2017 N1 - https://doi.org/10.11648/j.jim.20170601.19 DO - 10.11648/j.jim.20170601.19 T2 - Journal of Investment and Management JF - Journal of Investment and Management JO - Journal of Investment and Management SP - 56 EP - 59 PB - Science Publishing Group SN - 2328-7721 UR - https://doi.org/10.11648/j.jim.20170601.19 AB - The corporate governance of listed companies is the focus and hot spot of financial research in recent years. Using a sample of A-share listed firms in China for the period 2003-2015, the paper investigates corporate governance on the relationship between industrial over-investment and the over-investment. The results show that: (1) The information transparency restrains the positive relationship between industrial over-investment and the next period of over-investment. (2) Major shareholder increases the positive relationship between industrial over-investment and the over-investment. VL - 6 IS - 1 ER -
Information
Email: