Investor protection and stock crash risk

被引：38

作者：

Zhang, Hongliang ^{[1
]}

Wang, Mengying ^{[2
]}

Jiang, Jie ^{[3
]}

机构：

[1] Beijing Technol & Business Univ, Dept Accounting, Beijing, Peoples R China

[2] Univ Massachusetts, Coll Management, 100 Morrissey Blvd, Boston, MA 02125 USA

[3] China Youth Polit Coll, Dept Management, Beijing, Peoples R China

来源：

PACIFIC-BASIN FINANCE JOURNAL | 2017年 / 43卷

关键词：

Investor protection; Crash risk; China; Financial accounting; Corporate governance; CORPORATE GOVERNANCE; EARNINGS MANAGEMENT; COMPENSATION; MARKETS;

D O I：

10.1016/j.pacfin.2017.05.001

中图分类号：

F8 [财政、金融];

学科分类号：

0202 ;

摘要：

This paper examines the empirical relationship between investor protection and the risk of stock crash. We develop a firm-level index to measure how well a firm's investors are protected. Using a sample of listed Chinese companies from 2010 to 2012, we find that the stock of those firms whose investors received the best protection were less prone to crashes. We used an instrument approach to check the robustness of our findings. We also conduct a subsample analysis and decompose an investor protection score. We find consistent evidence of the adverse impact of poor investor protection on the risk of stock crash.

引用

页码：256 / 266

页数：11

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