Research Of The Effect Of Independent Director's Background On Enterprise Financing

In recent years,small and medium-sized enterprises are facing financing problems,thus to solve the credit discrimination and financing constraints has become a focus of the reform of the government and society.The current theory of financing constraints has revealed that it related to the theory of information asymmetry and agency cost,however,political connection can improve the resource environment and reduce information asymmetry,so the political Association of enterprises more convenient financing and less financing cost,based on this,this paper extends the research on the political connection variables of our predecessors,starting from the angle of independent directorswho have official background,with government document named No.18 and other events as an opportunity,to study how the loss of political association officials led to the resignation of independent directors impact on the financing of enterprises,and to prove how the function of policy shocks affect the utility of official independent directors in the enterprise,and to research they play more important rolein the field of corporate governance.In addition,relative to private enterprises,the state-owned enterprises have inherent advantages both in resources and information,therefore,in the theoretical and practical field,it is significant for us to investigate the influence of the nature of property right.Firstly,we use normative methods and empirical way,combined with the current policy background,based on the principal-agent theory,signal theory and resource dependence theory,combing through the literature made this assumption,and the resignation of independent directors from China's current situation,we collected manual data of official A shares of listed companies,during the period of 2012 to2015,which include 2255 samples with the resignation of independent directors,and analyze the reason of resignation of directors from the signal transmission and effect of government resources,in addition,we have 5090 data samples in the empirical part which describe the imformation of the resignation of independent directors and independent directors of the characteristics,using multiple regression model and double difference method study to realize how officials independent directors of the political background effect credit financing and the firm's financing constraints during the No.18 events,And the data are classified by the strength of political association and property rights to test the specific role of officials independent directors in the company,further inspect how the publishment of No.18 document economical effectthe resignation of independent directors,the main research results and conclusions are as follows;First of all,we proved that the independent directors who have political association can bring convenience to the enterprise financing,compared with the independent directors who have high political association,who have low political association are more popular in bank financing institutions.Independent directors of high political association background suppress the financing behavior of enterprises,probably because independent directors who have high political association are more sensitive to the national policy.Further investigation in the function between the enterprise credit and independent directors officials background found that during the No.18 events,national policy is impact on enterprise financing,and the companies engaging independent directors who have a high political background have much difference in financing credit after the document issued.By changing the range of political association,the OLS regression analysis,DID model is consistent with the above results,thus proving the robustness of model;thus it can be inferred that the independent directors who have official background play an important role for enterprise financing in the non state-owned enterprises without the resources superiority;last but not least,the independent directors who have official background can reduce the enterprise' financing constraints,and after the impact of policy,it ceased to exist.