This study empirically investigates the impact of managerial entrenchment on firm financial performance of Chinese firms initial public offerings （IPOs）. Using 142 firms listed in the Shenzhen Stock Exchange （SZSE...This study empirically investigates the impact of managerial entrenchment on firm financial performance of Chinese firms initial public offerings （IPOs）. Using 142 firms listed in the Shenzhen Stock Exchange （SZSE）, which was collected from the Guotaian Research Service Center （GTA-RSC） databases, this study uses two proxies to measure firm performance and three proxies to measure managerial entrenchment. The two proxies for firm performance are Tobins＇ Q and return on assets （ROA）, and the three proxies for managerial entrenchment are entrenchment 1, entrenchment 2, and entrenchment 3. These three entrenchment proxies are derived from the principal component analysis （PCA）. Though previous studies of managerial entrenchment and firm performance variables suffer from endogeneity, with respect to the corporate governance it is unclear as to which variables are endogenous and which are exogenous. This study confirms that the data are linear and no endogeneity issue should be address in this study, but only heteroskedasticity, non-normality for Tobins＇ Q are a problem, therefore, the regression method employed for Tobins＇ Q is the generalised least square （GLS） and the ordinary least square （OLS） between estimators for ROA. The regression result for Tobins＇ Q reveals that managerial entrenchment is negatively impact on firm performance. The results are in contradiction to the stewardship theory for new firms whereas the managerial entrenchment for new firms is positive. Furthermore, only one entrenchment proxy yields a significant coefficient. In conclusion, the negative results of entrenchment proxies were caused by the different institutional structures and legal systems which are the Chinese corporations that are still largely owned and controlled by a state and hence the centralised state controlled was responsible for all managerial actions.展开更多
Recently, the Chinese Technology has issued more within the national key Ministry of Science and than 40 key special projects research and development program. In the 2017 Annual Project Application Guidelines, a tota...Recently, the Chinese Technology has issued more within the national key Ministry of Science and than 40 key special projects research and development program. In the 2017 Annual Project Application Guidelines, a total of seven key projects related to geological sciences are planned, with overall funding of 3.52 billion yuan, with the timespan generally of five years. They are introduced as follows：展开更多
We use the Chinese initial public offering data from October 2009 to August 2010 to examine the newly-established growth enterprise board （GEB）. The results indicate that the GEB has been successful and is providing...We use the Chinese initial public offering data from October 2009 to August 2010 to examine the newly-established growth enterprise board （GEB）. The results indicate that the GEB has been successful and is providing a viable channel for new small and medium-sized firms to raise external capital. Four variables, the volatility variable, the turnover ratio, the winning lottery ratio and the price-earnings ratio, are important factors driving the initial- day returns in the regression analysis. The implementation of the new trading-halts policy on the GEB is found to be effective in mitigating excessive speculation. Our analysis results could be used by policy-makers to gauge the effects of policy changes on the underpricing of the initial public offerings of the GEB.展开更多
This paper constructs a fixed effect model to study the impact of turnover of local government officials on local air quality,and the mechanism through which this effect takes place,using data from 282 prefecture-leve...This paper constructs a fixed effect model to study the impact of turnover of local government officials on local air quality,and the mechanism through which this effect takes place,using data from 282 prefecture-level cities in China from 2015 to 2019.This research shows that turnover of local government officials led to a decline in local air quality,mainly due to a“responsibility gap period.”It also found that the heterogeneity of officials and the difference in the implementation of political initiatives by cities affected the length of the“responsibility gap period”-the shorter it was,the lower the air pollution was during official turnover.Air pollution in China is still severe and the Chinese central government should therefore further reform the turnover system to improve local air quality during the turnover of key local officials by shortening the“responsibility gap period.”展开更多
文摘This study empirically investigates the impact of managerial entrenchment on firm financial performance of Chinese firms initial public offerings （IPOs）. Using 142 firms listed in the Shenzhen Stock Exchange （SZSE）, which was collected from the Guotaian Research Service Center （GTA-RSC） databases, this study uses two proxies to measure firm performance and three proxies to measure managerial entrenchment. The two proxies for firm performance are Tobins＇ Q and return on assets （ROA）, and the three proxies for managerial entrenchment are entrenchment 1, entrenchment 2, and entrenchment 3. These three entrenchment proxies are derived from the principal component analysis （PCA）. Though previous studies of managerial entrenchment and firm performance variables suffer from endogeneity, with respect to the corporate governance it is unclear as to which variables are endogenous and which are exogenous. This study confirms that the data are linear and no endogeneity issue should be address in this study, but only heteroskedasticity, non-normality for Tobins＇ Q are a problem, therefore, the regression method employed for Tobins＇ Q is the generalised least square （GLS） and the ordinary least square （OLS） between estimators for ROA. The regression result for Tobins＇ Q reveals that managerial entrenchment is negatively impact on firm performance. The results are in contradiction to the stewardship theory for new firms whereas the managerial entrenchment for new firms is positive. Furthermore, only one entrenchment proxy yields a significant coefficient. In conclusion, the negative results of entrenchment proxies were caused by the different institutional structures and legal systems which are the Chinese corporations that are still largely owned and controlled by a state and hence the centralised state controlled was responsible for all managerial actions.
文摘Recently, the Chinese Technology has issued more within the national key Ministry of Science and than 40 key special projects research and development program. In the 2017 Annual Project Application Guidelines, a total of seven key projects related to geological sciences are planned, with overall funding of 3.52 billion yuan, with the timespan generally of five years. They are introduced as follows：
基金the Social Science and Humanity Research Fund of the Chinese Ministry of Education(10YJC790070)the National Natural Science Foundation of China(71031003)
文摘We use the Chinese initial public offering data from October 2009 to August 2010 to examine the newly-established growth enterprise board （GEB）. The results indicate that the GEB has been successful and is providing a viable channel for new small and medium-sized firms to raise external capital. Four variables, the volatility variable, the turnover ratio, the winning lottery ratio and the price-earnings ratio, are important factors driving the initial- day returns in the regression analysis. The implementation of the new trading-halts policy on the GEB is found to be effective in mitigating excessive speculation. Our analysis results could be used by policy-makers to gauge the effects of policy changes on the underpricing of the initial public offerings of the GEB.
基金the State Key Project of the National Social Science Foundation of China(No.19AZD003).
文摘This paper constructs a fixed effect model to study the impact of turnover of local government officials on local air quality,and the mechanism through which this effect takes place,using data from 282 prefecture-level cities in China from 2015 to 2019.This research shows that turnover of local government officials led to a decline in local air quality,mainly due to a“responsibility gap period.”It also found that the heterogeneity of officials and the difference in the implementation of political initiatives by cities affected the length of the“responsibility gap period”-the shorter it was,the lower the air pollution was during official turnover.Air pollution in China is still severe and the Chinese central government should therefore further reform the turnover system to improve local air quality during the turnover of key local officials by shortening the“responsibility gap period.”
