Accounting Information Quality, Stock Price Synchronicity And Resource Allocation Efficiency

Two basic functions of securities market-- information processing and capital allocation, the mechanism of its operation is the effective allocation of resources through stock price. Based on the traditional concept of effective market theory, information effective be simply same as efficient allocation of resources. Therefore, the existing academic for market efficiency in large part only verified the impact of information on the stock price, having ignored the role of price signals guiding capital optimal allocation. The academic community is currently verifying the traditional effective market theory, many foreign scholars have begun to study the role of the allocation of resources from the perspective of price signal, the relationship between stock price information content and resource allocation efficiency is tested by using the combination of theory and demonstration, but the research all from the macro level studies and based on foreign sample, The security market of our country as samples of research is still relatively weak. In addition, the establishment of the securities market is not long, stock price moves synchronously, the stock price of the company’s low level reflects the degree of private information. But, information can be entered through the stock trading stock. How well the quality of the company’s information impacts the content of stock price information. Among the information, accounting information as an important part of the company traits information, it can comprehensively reflect the company’s basic information. And it could affect the interests of investors and business operators making. Given the above analysis, In view of the above analysis, join the quality of accounting information as an intermediate variable, to study the correlation between stock price synchronicity and the efficiency of resource allocation. Stock price volatility synchronicity affects the efficiency of resource allocationThe research results of the relevant literature were reviewed and summarized. Through the elaboration of relevant theoretical basis, provide theoretical support for the study of this paper. This paper selected the Shenzhen Stock Exchange listing Corporation data as sample, join the quality of accounting information as an intermediate variable, to study the correlation between stock price synchronicity and the efficiency of resource allocation. The lower the synchronicity of stock price is, the higher the resource allocation efficiency and the more sensitive the capital inflows working on the benefits of the enterprise will be. Join the quality of accounting information as the intermediate variable, that the quality of accounting information can reduce the stock price synchronicity, and its influence on the enterprise resource allocation efficiency will reduce. At the same time, We conclude that compared with state owned enterprises, High quality accounting information to reduce the stock price synchronicity, improve the efficiency of resource allocation role in non-state owned enterprises have been more obvious.According to this article conclusion, and puts forward the following policy suggestions:First, perfect to improve relevant national accounting laws and regulations, the improvement of accounting laws and regulations can improve the relevance of accounting information reliability, etc. Those make the enterprise accounting information quality become well; through the improvement of accounting information can reduce the stock price synchronicity, thus affecting the resource allocation efficiency of enterprise. Second, regulator and related government departments strengthen the supervision. The relevant regulatory authorities through the supervision and management of the whole economic market, and supervise the financial situation of enterprises. Those can prevent accounting fraud or accounting distortion and reduce the degree of information asymmetry. Establish a good environment to do high quality accounting information, and promote the efficient allocation of resources. Third, improve the stock price information content of listed companies. The informative stock price transfers the firm specific information to market participants. This is a promising complement to openly disclose its information, and weaken the degree of asymmetry of the parties involved in the market. It makes the company become more transparent and improve the resource allocation efficiency of the enterprise. Fourth, standardize and improve the listed corporate governance structure. A fundamental issue of the single-large shareholder is widespread in Chinese enterprises. Large shareholders have strong ability and motivation to expropriate minority shareholders, and increase the cost of information collection and the risk of external investors to arbitrage. Those constitute the larger obstacle to raise the stock price information content of the listed corporation. These make against the efficiency of enterprise resource allocation.