Local Government Debt and Firm Zombification: Evidence from China

被引：6
|
作者：
He, Yang [1 ]
Ma, Yun [2 ]
Tang, Meng [3 ]
Wang, Lu [1 ]
机构：
[1] Cent Univ Finance & Econ, Sch Publ Finance & Taxat, Beijing 102206, Peoples R China
[2] Fudan Univ, Sch Econ, Shanghai 200433, Peoples R China
[3] Shanghai Jiao Tong Univ, Antai Coll Econ & Management, Shanghai 200030, Peoples R China
来源：
ASIAN ECONOMIC PAPERS | 2023年 / 22卷 / 02期
关键词：
ZOMBIE FIRMS; INVESTMENT; COMPETITION; FINANCE; GROWTH; RISKS;
D O I：
10.1162/asep_a_00865
中图分类号：
F [经济];
学科分类号：
02 ;
摘要：
We analyze the effects of local government debt on the proliferation of zombie firms. With aggregated prefecture-level debt data and firm-level data from 2006 to 2013, the empirical evidence demonstrates that the local government debt significantly exacerbates the "zombification" of local firms, mainly through the credit-favoritism to state-owned enterprises and capital misallocation. Our analysis also shows that the magnitude of zombification effects is influenced by debt liquidity and the primary functions of local government financing vehicles.
引用
收藏
页码：68 / 95
页数：28
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