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논문검색

Uncertainty, Corporate Governance and Investor Protection

원문정보

초록

영어

The cost of equity capital is the expected rate of return that investors provide equity capital to listed companies, it reflect the protection degree of corporate governance mechanisms to the interests of investors. The more effective corporate governance mechanism is, the lower cost of equity capital is. As a factor of influencing corporate operation as well as governance, uncertainty will change such relationship. In perspective of board monitoring, comparing the results of multiple regression with panel data regression, this paper confirm that the uncertainty is positive correlation to the cost of equity capital, the board monitoring is negative correlation to the latter. More importantly, the relationship between the board monitoring and the cost of equity capital will become less significant when the uncertainty the company facing is increasing, which means that the uncertainty will weaken governance efficiency.

목차

Abstract
 1. Introduction
 2. Literatures review
  2.1 Corporate Governance and the Cost of Equity Capital
  2.2 Uncertainty and Corporate Governance
 3. Research Hypothesis
 4. Variable and Models
  4.1. Variable Definitions
  4.2. Models
 5. Empirical Study
  5.1 Descriptive Statistics
  5.2 Multiple Regression Analysis and Panel Data Regression
  5.3. Robustness test
 6. Conclusion
 Acknowledgement
 References

저자정보

  • Xiaowei Tan School of Management, Hefei University of Technology, NO. 193 of Tunxi Road, Hefei, China, 230009
  • Zhongming Ding School of Management, Hefei University of Technology, NO. 193 of Tunxi Road, Hefei, China, School of Finance, Anhui University of Finance and Economics, NO.255 of Hongye Road, Bengbu, China, 233041

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