The Impact Of Excess Perks On The Company Investment Efficiency

The perk of the managers of listed companies in China and the problems they raise are increasingly receiving the attention of the society and the media.The majority of the public in the society question the executives' right to abuse their authority and abuse their powers.In December 2012,the Politburo of the CPC Central Committee convened a meeting and issued the “Eight Regulations” to strictly regulate the on-the-job consumer behavior of the company.This article is based on the "Eight Regulations" under the implementation of the background,the executive over-consumption of consumption and corporate investment efficiency of empirical tests,in order to test the effectiveness of the implementation of the policy,and to regulate the management of over-consumption of consumption recommendations.The full text is divided into six parts for writing.The first part is the introduction.This part introduces the writing background and significance of the article,and clarifies the article's research ideas and methods.Finally,the full text of the framework and possible innovation of the article is simple.Explained.The second part is the literature review.Through the review of the previous scholars' research results,the paper analyzes and analyzes the research literature on investment efficiency,on-the-job consumption,and over-the-job consumption from different perspectives,and analyzes the shortcomings of the existing literature.Make a review.The third part is the theoretical analysis of over-employment consumption and investment efficiency,starting with the economic consequences of over-employment consumption and the factors affecting investment efficiency,and then try to proceed from the perspective of principal-agent theory,information asymmetry theory,and management power theory.Explain the relationship between the two.The fourth part proposes the theoretical analysis and assumptions of excessive on-the-job consumption and corporate investment efficiency.This section first deduces the relationship between excessive on-the-job consumption and corporate investment efficiency,and introduces the “Eight Regulations” intermediary variables and the company's different Grouping and making two other assumptions.The fifth chapter is the model construction and empirical analysis.In this part,the hypothesis is verified by selecting and defining variables,establishing a multiple regression model,and then descriptive statistics,multiple regression analysis,robustness testing and other steps.The sixth chapter is the research conclusions,policy suggestions and future research directions.Based on the results of previous theories and data,this part puts forward the conclusions and policy recommendations of this paper,and explains the limitations of this study and further research in the future.direction.This article examines all the A-share listed companies in Shanghai and Shenzhen stock markets as texts in the six-year period(2010 to 2015)before and after the implementation of the “Eight Regulations” policy.The Effect of Overwork Consumption on Business Investment Efficiency.This article uses the Richardson model to measure the investment efficiency,which can not be used to estimate the residual of the model,and then uses the absolute value of the residual to measure the investment efficiency of the company.Excessive on-the-job consumption measures use administrative expenses to exclude a reasonable portion of on-the-job consumption.In analyzing the impact of the “Eight Regulations” on corporate investment efficiency,the mediating effect of over-employment consumption in the path of “Eight Regulations” on corporate investment efficiency was examined using the gradual substitution method in the mediating effect model.In examining the effects of the "Eight Regulations" policy on enterprises with different property rights,the DID model(dual difference model)was used for testing.The results of the study indicate that excessive executive consumption activities of corporate executives will reduce the investment efficiency of enterprises,and after the implementation of the “Eight Regulations,” they have played a positive role in promoting the improvement of the level of investment efficiency of enterprises,in the “Eight Regulations”.Under the influence,the investment efficiency of enterprises has gradually increased.In a further study,it was found that in the path of “Eight Regulations” affecting corporate investment efficiency,the over-employment level of management of management has played an incomplete role in the path.Explain that the implementation of the "Eight Regulations" effectively supervises part of the management's on-the-job consumption level and allows them to spend more on the company's investment decision-making behavior.In studying whether there are differences in the improvement of the investment efficiency of enterprises with different types of property rights in the “Eight Regulations”,it was found that regardless of whether the nature of property rights is state-owned or privately owned,“Eight Regulations” have an impact on the improvement of the level of investment efficiency of enterprises,but Compared with private enterprises,the investment efficiency of state-owned enterprises is even more pronounced.This shows that companies are affected by the external institutional environment,and executives with different property rights have different responses to different external institutional environments.Based on the above findings,combined with theoretical assumptions,the corresponding policy recommendations are proposed at the end of the article.First,it is necessary to intensify the disclosure of management's perk information.Second,it is necessary to strengthen the on-the-job consumer budget,approval,and reimbursement system.Third,it is necessary to pay attention to the supervision of perk.Fourth,to strengthen the internal financial control and auditing supervision mechanism of an enterprise is the fifth one.It is necessary to improve its own internal control guidelines in accordance with the spiritual requirements mentioned in the “Eight Regulations”.