Marketizayion,Auditor Industry Experise And The Cost Of Debt Financing

In the current process of industrial transformation and development,companies generally face the problem of higher financing costs.In order to support the industrial transformation and upgrading,the PBC and other eight ministries and departments jointly issued a number of "Opinions on Financial Support to Industrial Growth and Adjustment and Structural Efficiency Improvement" in February 2016,requiring all financial institutions to step up industrial credit support for the industry and make efforts to reduce the cost of financing.Under the support of national credit policy,it is of great practical significance for micro-industrial individuals to study whether they can actively mitigate the credit financing constraints by enhancing audit professionalism.This paper will study the impact of auditor industry expertise on corporate debt financing costs,and combine the differences in marketization environment in each region,and examine the relationship between auditor industry expertise and corporate debt financing costs from the perspective of the company's property rights and internal control quality.This article draw the following conclusions:(1)the auditor industry expertise has a significant inhibitory effect on the cost of debt financing;(2)Compared with areas with poor marketization environment,when the regional marketization environment is good,the auditor industry expertise significantly affects the cost of debt financing;(3)When the regional market environment is relatively good,compared with state-owned enterprises,the effect of auditor industry expertise on the reduction of debt financing costs is in private The enterprises are more prominent;(4)When the regional marketization environment is relatively good,compared with the enterprises with low internal control quality,the effect of the auditor industry expertise on the reduction of debt financing costs is even more pronounced for companies with high internal control quality.The innovation of this paper is reflected in the following three aspects:(1)The research on the economic consequences of the auditor's industry expertise focus on the stickiness of the company's expenses,the scale of financing,and the cost of equity capital.Studying the influence of auditor industry expertise on corporate debt financing costs can broaden the research on the economic consequences of auditor industry expertise;(2)The factors affecting the debt financing cost are mostly from the internal characteristics of the company and the internal and external environment of the company.The perspective of this study can enrich the current domestic research on the influencing factors of debt financing costs;(3)This article combines the marketization environment of different regions in China macroscopically,and examines the company's active hiring of professional auditors.The difference in the cost of debt financing further deepens the interactive analysis of macro-environmental environment and micro-enterprise behavior.