The effect of stock liquidity on investment efficiency under financing constraints and asymmetric information: Evidence from the United States

被引：15
|
作者：
Quah, Heidi [1 ]
Haman, Janto [1 ]
Naidu, Dharmendra [1 ]
机构：
[1] Monash Univ, Monash Business Sch, Dept Accounting, Caulfield, Vic, Australia
来源：
ACCOUNTING AND FINANCE | 2021年 / 61卷
关键词：
Stock liquidity; Investment efficiency; Financial constraint; Information asymmetry; Institutional ownership; CORPORATE GOVERNANCE; PRICE INFORMATIVENESS; INSTITUTIONAL INVESTORS; SHAREHOLDER ACTIVISM; AGENCY COSTS; CASH FLOW; MARKETS; FIRM; OWNERSHIP; EQUITY;
D O I：
10.1111/acfi.12656
中图分类号：
F8 [财政、金融];
学科分类号：
0202 ;
摘要：
We examine whether the association between stock liquidity and investment efficiency is more pronounced for firms with more financial constraints and information asymmetry problems. The results show that the effect of higher stock liquidity on lowering under (over)-investment is more pronounced for firms with more financial constraints and information asymmetry problems as proxied by younger and higher business risk firms, respectively. We also find similar results for firms with lower institutional ownership, more external financing dependence and higher idiosyncratic risks. The findings collectively suggest that the effect of stock liquidity in our setting is more pervasive for firms with more financial constraints and information asymmetry problems.
引用
收藏
页码：2109 / 2150
页数：42
相关论文
共 50 条
  • [41] How Does Supply Chain Information Disclosure Relate to Corporate Investment Efficiency? Evidence from Chinese-Listed Companies
    Gao, Di
    Zhao, Yuan
    Ma, Jiangming
    SUSTAINABILITY, 2023, 15 (08)
  • [42] Short-sale constraints and firm investment efficiency: Evidence from a natural experiment
    Chen, Zhihong
    Fu, Siwen
    Wang, Ke
    JOURNAL OF ACCOUNTING AND PUBLIC POLICY, 2023, 42 (06)
  • [43] Asymmetric effects of voluntary disclosure on stock liquidity: evidence from 8-K filings
    Cho, Hyunkwon
    Kim, Robert
    ACCOUNTING AND FINANCE, 2021, 61 (01) : 803 - 846
  • [44] The Impact of Political Connection and Information Asymmetry on Investment Efficiency: Evidence from China
    Yu, Hui-Fun
    Lin, Tsui-Jung
    Chang, Hai-Yen
    Wang, Yu-Huai
    SUSTAINABILITY, 2020, 12 (14)
  • [45] Do decoupled payments affect investment financing constraints? Evidence from Irish agriculture
    O'Toole, Conor
    Hennessy, Thia
    FOOD POLICY, 2015, 56 : 67 - 75
  • [46] Information Asymmetry and Corporate Liquidity Management: Evidence from Real Estate Investment Trusts
    Heng An
    William Hardin
    Zhonghua Wu
    The Journal of Real Estate Finance and Economics, 2012, 45 : 678 - 704
  • [47] Information Asymmetry and Corporate Liquidity Management: Evidence from Real Estate Investment Trusts
    An, Heng
    Hardin, William, III
    Wu, Zhonghua
    JOURNAL OF REAL ESTATE FINANCE AND ECONOMICS, 2012, 45 (03) : 678 - 704
  • [48] FINANCIAL INFORMATION QUALITY AND INVESTMENT EFFICIENCY: EVIDENCE FROM MALAYSIA
    Rad, Seyed Sajad Ebrahimi
    Embong, Zaini
    Mohd-Saleh, Norman
    Jaffar, Romlah
    ASIAN ACADEMY OF MANAGEMENT JOURNAL OF ACCOUNTING AND FINANCE, 2016, 12 (01): : 129 - 151
  • [49] The real effect of liquidity provision on entrepreneurial financing: evidence from a natural experiment in China
    Liu, Bo
    Cao, Jerry
    Johan, Sofia
    Leng, Tiecheng
    EUROPEAN JOURNAL OF FINANCE, 2019, 25 (06) : 568 - 593
  • [50] Short Sale, Stock Liquidity, and the Day-of-the-Week Effect: Evidence from the Taiwan Stock Market
    Huang, Zhaodan
    Hu, Ou
    Liao, Bih-Shuang
    REVIEW OF PACIFIC BASIN FINANCIAL MARKETS AND POLICIES, 2010, 13 (01) : 71 - 90
12345