The Impact Of Macroeconomic Factors On The Debt Ratio Of Listed Companies In China

The leverage ratio of China's non-financial enterprises has risen rapidly in recent years,which surpassed the world's major developed countries and emerging markets,making China the focus of attention around the world.This paper focus on the impact of macroeconomic factors on the debt ratio of non-financial enterprises in China,which is of great significance to understand the reasons under the rapid growth of non-financial enterprises in China.Based on the panel data of listed companies and macroeconomic factors in China from 2000 to 2015,this paper first studies the impact of three macroeconomic factors such as economic cycle,credit cycle and stock market performance on the debt ratio of listed companies,then studies whether listed companies with different property rights have different coping mechanisms on their debt ratio when these three of the macroeconomic factors change.The empirical result shows: economic cycle has pro-cycle effect on the debt ratio of listed companies in China,and the debt ratio is significant positive correlated to the performance of the stock market,but it is not strongly associated with the credit cycle.In addition,the nature of property rights is an important variable affecting the relationship between macroeconomic factors and the debt ratio.What's more,the sensitivity of state-owned listed companies to the economic cycle is significantly lower than that of non-state-owned listed companies,that is,both the declining and the ascendant rate of state-owned listed companies are significantly lower than that of non-state-owned listed companies.Subsequently,when the credit market is in the expansion cycle,there is no significant difference in the debt ratio between state-owned listed companies and non-state-owned listed companies.However,when the credit market is in the contraction cycle,the debt ratio of the state-owned listed companies is significantly higher than that of the non-state-owned listed companies.Lastly,When the stock market rises,the state-owned listed companies' debt ratio drop much rapidly than the non-state-owned listed companies,but when the stock market crashes,there is no significant difference in the debt ratio between the two.