Evidence item

The peer-reviewed study reports a 9.7% reduction in underinvestment after bankruptcy-court establishment in Chinese A-share firms from 2014–2022. DIRECT_TEXT

Authenticity UNVERIFIED · extraction UNVERIFIED · independence group none (unreviewed) · created seq 16073

Source: From courts to capital: how bankruptcy judicial reform affects corporate investment efficiency · locator {} · excerpt hash sha256:46295669e705a549f8000e74e441d72f2d6ab43df8c4513ac0394064ccbdee98

Based on data from China’s A-share listed companies from 2014 to 2022, this paper uses the establishment of Chinese bankruptcy courts as a quasi-natural experiment and employs a staggered difference-in-differences method. We find that ... non-optimal investment efficiency decreasing by 7.5%, primarily due to a 9.7% reduction in underinvestment.