Empirical Research Of Government Subsidy About Listed Company Under Special Treatment

Shanghai and shenzhen stock exchange carried out policy of Special Treatment since 1998 years in April. There had 255 Listed Company under Special Treatment in December 31, 2004. Among them, 23 companies had left the market because they failed to improve their deep end. Thus, the policy of Special Treatment and others have promote well-ordered progress in stock market. Nowadays the policies about leaving the stock market are increasingly strict. The fixed number of year which is permitted to loss reduces by the original six years to four years, even then three years half. Self-control power of Local government in economic growth is enhancing, and the company in stock market is a kind of rare resource. Local government has vital significance in distorting loss. This article pays attention to the companies which are specially treated from 1998 to 2004 in china, and aims to behavior and the characteristic of government subsidy carrying on Empirical Research. First, description is used to obtain characteristic of government subsidy , and the hypotheses is fetched. Next, the significance examinations and regression equation are used to examine upright hypotheses, and the significance examinations are used to examine horizontal hypotheses. The result suggests that allowance revenue and government subsidy reduce before two year and one year, allowance revenue increase in same year, allowance revenue and government subsidy increase after one year, allowance revenue, government subsidy and tax-expense are reducing. Also, policies which are set down in 2001 have significant function.This paper is based on the previous research, and improve same flaws. The suggest which aims at stock supervisors, policy constitutor and investor is also put forward in the end.