Research On The Influence Of Accounting Conservatism On Financing Constraints Based On Heterogeneity Of Property Rights

As the foundation of national economy,agriculture has an important strategic position in the process of China's economic development.By the end of 2018,there are 45 A-share listed agricultural companies in China,accounting for 1.23% of the total number of listed companies.However,due to the constraints of natural conditions,industry characteristics and capital market,information asymmetry and principal-agent problems,the external financing cost is generally higher than the internal financing cost in listed agricultural companies.Therefore,financing problems has become a major problem that restricts the daily operation and development of listed agricultural companies.Public offering of stocks by listed agricultural companies has a significant and extensive impact on the interests of all stakeholders.Therefore,external stakeholders need to learn about the financial situation and operating results of listed agricultural companies based on the effective accounting information that has been identified.As we all know,accounting information helps external capital providers to monitor and evaluate the strategies and decisions implemented by management.High-quality accounting information contributes to reduce not only the cost of information acquisition caused by information asymmetry,but also moral hazard and adverse selection.As a result,high-quality accounting information helps to relieve the financing difficulties faced by companies.Therefore,as one of accounting information quality requirements,accounting conservatism is likely to become the basis for external investors to decide whether to provide funds to companies,that is,the accounting conservatism of listed agricultural companies will affect their external financing constraints.As for the special conditions of our country,state-owned companies,government and state-owned banks are in the same system.Compared with non-state-owned companies,state-owned companies are easier to obtain financial support from the government and banks.And state-owned companies are facing a more standardized financial system and stricter institutional constraints compared with non-state-owned ones.Therefore,from the perspective of heterogeneity of property rights,there may be differences in the impact of accounting conservatism on financing constraints between state-owned companies and non-state-owned ones.This thesis is based on the empirical research of the impact of accounting conservatism on financing constraints of listed agricultural companies.Firstly,it defines the concepts of listed agricultural companies,accounting conservatism,financing constraints and property rights,and then makes a theoretical analysis and puts forward research hypotheses;Secondly,this thesis divides the samples into three groups: the whole group,state-owned group and non-state-owned group;Then,this thesis takes the effective panel data from 2007 to 2017 in CSMAR database as samples,and the conditional conservatism and unconditional conservatism as explanatory variables,and takes financing constraints as explained variables;Thirdly,the thesis uses the cash-cash flow sensitivity model to make regression analysis based on the samples and explores the mechanism of two kinds of conservatism on financing constraints from the perspective of heterogeneity of property rights.The results are as below: Firstly,listed agricultural companies in China are faced with financing constraints;Secondly,conditional conservatism can aggravate the financing constraints and unconditional conservatism can alleviate the financing constraints;Thirdly,compared with state-owned companies,the effect of conditional conservatism on financing constraints is more significant in non-state-owned ones;and compared with non-state-owned companies,the effect of unconditional conservatism on financing constraints is more significant in state-owned ones;Fourthly,in state-owned companies,compared with unconditional conservatism,the improvement of conditional conservatism has a more significant impact on financing constraints;Lastly,in non-state-owned companies,compared with conditional conservatism,the improvement of unconditional conservatism has a more significant impact on financing constraints.Based on the above conclusions,this thesis puts forward some suggestions to solve the financing constraints from the perspectives of heterogeneity of property rights,accounting conservatism,the government and the enterprises.