Study On The Influence Of Financing Constrains On Investment Performance In Environmental Industry

Environmental crisis threaten economic and social sustainable development,environmental protection industry for environmental management to provide a direct material basis.The environmental protection industry is subject to external constraints,project cycle,investment scale,cost and other factors,while the financial constraints have an impact on investment behavior and its effect.It is of theoretical value and practical significance to discuss the influence of financing constraints on investment performance of environmental protection industry.Based on the previous studies,this paper constructs the theoretical analysis framework of the impact of financing constraints on investment performance of environmental protection industry,and analyzes the theoretical mechanism of the impact of financing constraints on investment performance of environmental protection industry from the aspects of investment scale,transaction cost and project selection decision.Based on the preliminary data calculation and collation,this paper makes a statistical observation on the financing characteristics of China's environmental protection industry,the behavior and effect of environmental protection and the trend of co-evolution of financing constraints and environmental investment performance,and provides a basis for further test theory.Based on the logic of "Examining the Existence of Financial Constraints-Analysis of the Impact of Financing Constraints on Investment Performance",this paper takes the financial data of 77 environmental protection listed companies for 2007-2014 as the sample,adopts the collateralized assets scale,As a measure of financial constraint variables,using the cash-cash flow model to test the existence of the financial constraints of environmental listed companies.The paper chooses the asset-liability ratio,the liquidity ratio,the financial relaxation,the firm size and the repayment ratio as the basic variables.After the Logistic regression process,the variables of the financial constraint explanatory variables are formed.And the factor analysis process is used to form the environmental performance indicators..Based on the above indexes and data system,the investment performance measurement model is used to estimate the testing process,and the effect of financing constraints on investment performance of environmental protection industry is tested.The results show that the environmental protection listed companies,which are representative enterprises of the environmental protection industry,face strong financing constraints.Meanwhile,when the financing constraint is below the extreme level,the investment performance of environmental protection listed companies increases with the increase of financing constraints.When the financing constraint is higher than the extreme value,the performance of environmental protection investment is decreasing with the increase of financing constraint.The empirical test results support the theoretical judgment.The thesis chooses high and low financial constraints as a typical case of empirical analysis of the company object to support the theoretical judgments and empirical analysis of conclusions.Based on theoretical analysis,empirical analysis and case analysis,the paper puts forward some countermeasures and suggestions,such as strengthening the supervision of the company's management on the investment decision of environmental protection investment projects,increasing the cash holdings of high environmental financing listed companies and increasing the financing channels.