Record number :
Title of article :
Financial distress of Chinese firms: Microeconomic, macroeconomic and institutional influences
Author/Authors :
Bhattacharjee، نويسنده , , Arnab and Han، نويسنده , , Jie، نويسنده ,
Issue Information :
روزنامه با شماره پیاپی سال 2014
Pages :
From page :
To page :
Abstract :
We study the impact of both microeconomic factors and the macroeconomy on the financial distress of Chinese listed companies over a period of massive economic transition, 1995 to 2006. Based on an economic model of financial distress under the institutional setting of state protection against exit, and using our own firm-level measure of distress, we find important impacts of firm characteristics, macroeconomic instability and institutional factors on the hazard rate of financial distress. The results are robust to unobserved heterogeneity at the firm level, as well as those shared by firms in similar macroeconomic founding conditions. Comparison with related studies for China and other economies highlights important policy implications.
Keywords :
Financial Distress , Macroeconomic instability , Emerging economies , Unobserved heterogeneity , Cox proportional hazards model
Journal title :
China Economic Review (Amsterdam
Serial Year :
Link To Document :