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Financial Liberalization and Financing Constraints: Empirical Research on Chinese Stock Market
Author: ChenJu
Tutor: HeXiaoXing
School: Xiamen University
Course: Financial Engineering
Keywords: Financial liberalization Financing constraints GMM method
CLC: F832.2
Type: Master's thesis
Year: 2007
Downloads: 233
Quote: 5
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Abstract
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In the whole process of economic development , promote economic growth are the main force . For a modern enterprise , capital is the driving force of sustainable development of enterprises . Therefore, the development of enterprises most important issue facing financing problems. Since the 1970s , along with the wave of the global financial liberalization , many scholars have made ??a lot of theoretical and empirical research on the relationship between financial liberalization and financing constraints . As a transition economy , China since the reform and opening up in 1978 and gradually began the process of financial sector reforms and financial liberalization . Choosing this topic is based on this background, the study of the relationship between financial liberalization and financing constraints in China . Financial liberalization help to reduce the financing constraints faced by the enterprise in the economics literature , research questions is an ongoing concern . Based on the existing research literature , this paper will provide empirical evidence from the Chinese stock market : (1) nearly a decade of financial development as a research focus on corporate finance , corporate finance analysis period of prudent period of financial deregulation and financial liberalization again constraints ; (2) to China between 1996 and 2004 in Shanghai and Shenzhen listed companies as samples , Fazzari , Hubbard and Petersen ( 1988 ) model based on generalized estimation method of moments ( GMM panel data ( panel data ) ) to estimate the model , study the liberalization of China's financial impact on the company 's financial constraints . The empirical results show that our country there is a serious financing constraints . Financial liberalization again , more efficient financial markets , the company's financing constraint has been relaxed significantly . The level of development of the financial market is not able to meet the requirements of the company 's external financing , financial markets, especially the stock market also need to further reform and development .
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CLC: > Economic > Fiscal, monetary > Finance, banking > China's financial,banking > Banking system and business
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