Time Distance and Mutual Fund Holding Horizon: Evidence from a Quasi-Natural Experiment Setting of High-Speed Railway Opening

Does Transportation Time Affect Corporate Financialization----Based on the Quasi-natural Experiment on High-Speed Railway Opening

Tobacco Regulatory Science ◽

10.18001/trs.7.6.97 ◽

2021 ◽

Vol 7 (6) ◽

pp. 6196-6206

Author(s):

Cai Wei ◽

Li Xiangyi ◽

Ma Quanjun ◽

Wei Yuanying

Keyword(s):

Economic Development ◽

High Speed ◽

Natural Experiment ◽

Listed Companies ◽

Corporate Ownership ◽

Regional Heterogeneity ◽

High Speed Railway ◽

Transportation Time ◽

Research Findings ◽

A Share

Objectives: The construction of high-speed railway (HSR) in China has developed rapidly in recent years, and the opening of high-speed railway has had a significant impact on the economic development of the region and has profoundly affected the development of regional enterprises. Based on the data of Chinese A-share listed companies from year 2004 to 2017, this paper examines whether the opening of high-speed railway has an impact on the degree of financialization of corporates. The results show that the opening of high-speed railway significantly boosts the financialization level of enterprises, and this effect is most obvious two years after the opening of high-speed railway, with significant regional heterogeneity and corporate ownership heterogeneity, and mainly occurs in high financing constrained enterprises and low technology enterprises. Finally, the paper proposes corresponding countermeasures in response to the research findings.

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Transportation Infrastructure Construction and High-Quality Development of Enterprises: Evidence from the Quasi-Natural Experiment of High-Speed Railway Opening in China

Sustainability ◽

10.3390/su132313316 ◽

2021 ◽

Vol 13 (23) ◽

pp. 13316

Author(s):

Tianjiao Zhao ◽

Xiang Xiao ◽

Qinghui Dai

Keyword(s):

Information Disclosure ◽

High Speed ◽

Natural Experiment ◽

Quality Development ◽

High Quality ◽

Quality Of Information ◽

High Speed Railway ◽

Business Environments ◽

The Impact

High-quality development of the economy is an important guarantee for economic and business sustainability, and the construction of transportation infrastructure is an important channel to achieving high-quality development. Thus, we take the opening of China’s high-speed railway (HSR) as a quasi-natural experiment and use the difference-in-difference model to explore the impact and mechanism of HSR on firms’ high-quality development. By using the total factor productivity of enterprises as the proxy for high-quality development, the empirical results show that: (1) the opening of the HSR can significantly promote high-quality development of enterprises; (2) the quality of information disclosure plays a mediating role in such relationships; and (3) the impact of HSR on enterprises’ high-quality development is more significant for enterprises that are located in cities with better business environments. Overall, this research indicates that local infrastructure construction is an important factor to achieve high-quality development of enterprises as well as economic sustainability that cannot be ignored, and this conclusion will be helpful for corporate managers in enhancing the quality of information disclosure, as well as for local governments to attach more importance to optimizing business environments to achieve high-quality development and economic sustainability.

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