The Empirical Analysis On The Relationship Between The Liabilities And The Corporate Performance Of China's Listed Companies

Since 1950s, research on the corporate capital structure became one of the hot issues in the financial theory field. China's scientists still couldn't make a satisfactory conclusion on whether the international classic corporate capital structure theories are effective in China. The thesis puts China's listed companies as researching target, and focuses upon the part of the corporate capital structure theories which are about the corporate liabilities especially the relationship between the liabilities and the corporate performance. The empirical ways are used to describe the current situation of China, and to compare the difference between the conclusion of analysis on China and western markets.By reading plenty of international classic masterpiece and published works about corporate capital structure theories, some conclusions are gotten that are on how the corporate liabilities and performance impact on each other from the classic corporate capital structure theories. Based on that, the data are selected from 2000 to 2004 about some kinds of corporate liabilities ratios and performance indicators of China's native listed companies. Firstly, the chars are used to describe on different year the distribution of average corporate performance indicators in separate asset/ liabilities ratio regions. Secondly, the simple linear regression models and multivariate models are set up on different liabilities ratios and performance indicators by analyzing through statistic software, to show how the corporate liabilities impact on the performance, and how the corporate performance development impact on the liabilities selection, and calculate the asset/ liabilities ratio region which can make the highest performance indicators in China's listed companies.Through the above empirical analyzing, the following conclusions are drawn: the asset/ liabilities ratio of China's listed companies has a strong negative correlation with companies' performance indicators, and the development of corporate performance should change the shot-term liabilities selection on the opposite way, and it seems that the long-term liabilities selection has little relationship with that, which are not consistent with the international classic theories;the asset/ liabilities ratio region which can make the highest performance indicators in China's listed companies is far lower than it is in foreign countries.Based on these conclusions, the author considers that the efficiency of financial leverage is too low, and the capital from liabilities is not enough in China's listed companies. The thesis tries to analyze the comprehensive reasons on those conclusions, and tries to give some constructional opinions on the current situation of China, based on author's present capability.