Executives' 'Jealousy' Psychology,Corporate Overinvestment And Stock Price Collapse Risk

China has initially formed a multi-level capital market system.As an important part of the capital market,the stock market has an indispensable role in the development of our national economy.China's stock market was just established in the 1990s.Compared with the capital markets of developed countries,the development history is relatively short,and the supervision system is not perfect.In addition,there are many inexperienced individual investors in China's stock market.There are also problems such as the company's own problems that have led to the phenomenon of listed companies' stock price surges and plunges.Compared with stock price surges,stock price collapses will greatly disrupt the order of the stock market,damage investors' vital interests,even threaten the country's financial security system and the development of the economy.Only a healthy stock market can optimize resource allocation,provide investors and financiers with smooth investment and financing channels,promote the orderly progress of the capital market and the stable development of the national economy.The influencing factors of the stock price crash have always been the focus of research by domestic and foreign scholars.As the internal psychological characteristics of executives,executives' jealousy will affect the company's decision-making and thus have a certain impact on the company's stock price crash risk.Whether it will cause a"bubble" in the stock market and then trigger a stock market crash is also a focus of academic concern.Based on the principal-agent theory and high-level echelon theory,this article studies the impact of executives 'jealousy on the company 's stock price crash from the perspective of the important psychological factor 'jealousy',and incorporate the company's excessive investment into the study of executives' jealousy and the risk of corporate stock price collapse.In the study of the crash risk.This article investigates the role of executives in the risk of stock price crash from a new perspective,studies and explores the relationship between executives' jealousy,corporate overinvestment and stock price crash risk deeply.The research results are listed as follows.Firstly,executive jealousy will aggravate the risk of a company's stock price crash significantly;Secondly,executive jealousy has a positive effect on an enterprise's overinvestment;Thirdly,an enterprise's overinvestment will raise the risk of a stock price crash.Lastly,corporate overinvestment plays a positive intermediary role between executives' jealousy and stock price collapse risk.The research results of this paper make a certain contribution to the research in the fields related to stock price crash risk,executives 'jealousy,and companies'overinvestment.At the same time,it can also provide some theoretical support for the regulatory authorities to take measures to prevent the capital market from rising or falling sharply,and to formulate a reasonable executive selection system and incentive policies for companies and plan a reasonable investment level.