Does Property Right Heterogenicity Twist The Transmission Of Monetary Policy?

After the financial crisis in 2008,all governments including China have introduced stimulus monetary policies in an effort to promote the recovery of the economy through a loose monetary policy environment.Corporate investment behavior plays an important role in this process because investment not only has a long-term effect on growth,but also is an inportant driver of aggregate demand and short-term economic fluctuations(Keyens,1937).Therefore,it is very important to analyze how monetary policy affects micro-enterprises' investment behavior.However,the current research has a gap between the macro and micro level.The monetary policy transmission to corporate investment cannot be explained only by macro data.This paper believes that the conduction of monetary policy ultimately needs to be grounded through the interpretation and decision-making of the corporate's commisars.Therefore,the property heterogeneity of the enterprise is bound to play an important role.A large amount of research also shows that the nature of property rights will significantly affect corporate investment behavior.Therefore,the purpose of this paper is to systematically analyze the impact of monetary policy on the investment rate and investment efficiency of firms under the conditions of property rights heterogeneity.This paper first uses the panel vector autoregressive model to analyze how the supply and demand effects of monetary policy work on companies with different property rights.The results show that,at present the supply effect is still dominated,but when companies face low financing constraints,the demand effect is more obvious.This conclusion does not shift in the state-owned enterprises and private enterprises.However,considering the marginal change in the effect of investment rate on the effect,there is asymmetry between state-owned enterprises and private enterprises,which shows that private enterprises facing high financing constraints respond more to the investment rate of supply effect,and the response of state-owned enterprises to the demand effect is more significant.Further,this paper studies the differential impact of monetary policy on the efficiency of corporate investment under the heterogeneity of property rights.The results show that although the overall transmission of monetary policy is effective,it will be distorted at the micro level due to the heterogeneity of property rights including the nature of property rights,the level of control,the separation of two rights,and the proportion of institutional ownership.In this study,the investment and over-investment of companies are taken into account in the study.The degree and direction of this distortion are quantitatively studied under the cross-grouping of financing constraints and investment opportunities.This paper analyzes the micro-conduction path of monetary policy under the subdivided scenario,and further reveals the micro-structural features of policy transmission.The conclusions of the study provide monetary policy makers with a clearer view of the policy micro-conduction path,which has positive reference significance for the implementation of policies and improvement of corporate investment efficiency.