The Effect Of Financial Development On The Efficiency Of Transportation Infrastructure Investment

In recent years,in order to promote the sustained and healthy development of the national economy,China has successively proposed many major strategies such as the Belt and Road initiative,New-type Urbanization,Rural Revitalization and many other major strategies.Based on these strategies,the State Council has formulated and implemented a series of action plans such as ?poverty alleviation through transportation?,and the construction speed of transportation infrastructure in various regions has been continuously accelerated.The single financing mode of the transportation infrastructure construction is difficult to support the increasing investment demand and urgently needs strong financial support.Research on the impact of financial development on the efficiency of transportation infrastructure investment will help government agencies to formulate monetary and financial policies in a targeted manner,enhance the effectiveness of transportation infrastructure investment,and achieve high-quality development of transportation infrastructure construction.This paper conducts study by taking A-share transportation infrastructure listed enterprises in Shanghai and Shenzhen stock exchanges as samples and using the annual financial data from 2006 to 2018.Firstly,the Richardson model is used to measure the investment efficiency of transportation infrastructure enterprises,and the short-panel data fixed effect model is used to empirically analyze the impact of financial development on the investment efficiency of transportation infrastructure enterprises.Secondly,according to the positive and negative residual values extracted from the Richardson model,the sample enterprises are divided into over-investment and under-investment groups,and then the short panel fixed effect regression is used to analyze the impact path of financial development on investment efficiency.Finally,based on the empirical results,this paper comes out some countermeasures and suggestions to accelerate the construction of transportation infrastructure.The research shows that financial development can reduce inefficient investment of enterprises and improve investment efficiency of transportation infrastructure enterprises.However,for over-invested transportation infrastructure enterprises,financial development has no significant effect on their investment efficiency;for under-invested enterprises,financial development can alleviate investment constraints and improve investment efficiency.Therefore,financial development is mainly to improve the investment efficiency of transportation infrastructure enterprises by alleviating the under-investment.Based on this,the following suggestions are put forward: to implement a moderately loose monetary policy,to further improve the credit service efficiency of financial institutions,and to vigorously develop the capital market to attract more social capital to participate in the construction of transportation infrastructure.