Short-term Capital Flow, Asset Price And Cost Of Debt Of Listed Companies

Since 2002,the topic of "hot money" has aroused much discussion,and it is one of the key points for discussion about the effect of "hot money" on the effect of net capital on Congress.As the most important emerging market country in the world,China will naturally be hit by "hot money".With the development of financial system,China and international financial market are becoming more and more integrated.On the other hand,as an important part of the Chinese enterprise sector,the development of listed companies are more related to the overall production level and economic development of our country.Based on this background,in order to clarify the mechanism of short-term international capital flow and provide a more comprehensive perspective to understand the factors affecting the cost of debt financing in China's listed companies,this paper is based on the sample of 2216 listed companies in our country.Based on previous theories and research results,this paper focuses on the mechanism of short-term international capital flows affecting the debt financing costs of Listed Companies in China.In the empirical analysis,this paper mainly uses fixed effect model to control the individual heterogeneity of the listed companies,and tests adjustment effect of asset price in the location of the listed company.In order to control endogeneity in the empirical analysis,this paper uses the instrument variable to test the hypothesis by using the two step least square method.The results of this study find that when the short term international capital flows into our country,it can reduce the debt cost of Listed Companies in our country,and when asset price is high,it can also reduce the debt cost of listed companies in our country,and the asset price has played a moderating role in the transmission process of the short term international capital flow with debt financing cost of the listed companies...