| As a country with an emerging economy,China has not yet developed a highly developed property rights protection mechanism and a sound market regulation mechanism.The development of micro enterprises is highly dependent and sensitive to the policy environment,and therefore economic policy uncertainty is an important consideration in the business process of enterprises.Based on this background,this paper explores the impact of economic policy uncertainty on the investment efficiency of enterprises.This paper takes 8048 balanced panel data of China’s A-share listed companies from 2004 to 2017 as sample,establishes a panel threshold regression model,explores the nonlinear influence of economic policy uncertainty on investment efficiency and the moderating effect of political connection on the relationship between the two for empirical testing.Heterogeneity analysis is also conducted by further distinguishing regional institutional environment,nature of enterprise property rights,and enterprise size.The main findings of this paper are as follows:(1)There is an inverted U-shaped relationship between economic policy uncertainty and enterprise investment efficiency,with economic policy uncertainty having an asymmetric effect on investment efficiency on both sides of its threshold value(0.733);Political connection can weaken the adverse effect of economic policy uncertainty on investment efficiency.As uncertainty increases,the effect of economic policy uncertainty on investment efficiency under the influence of political connection shows a nonlinear threshold characteristic of diminishing adverse effect.(2)For firms in regions with high institutional environment,uncertainty in the low threshold interval promotes investment efficiency,and the effect of uncertainty in the high threshold interval is insignificant;while firms in regions with low institutional environment,uncertainty shows a diminishing inhibitory effect of marginal effect on their investment efficiency.Among state-owned enterprises,economic policy uncertainty and enterprise investment efficiency show a non-linear threshold characteristic of diminishing inhibition;asymmetry breaking the threshold also has an inhibitory effect on private enterprises’ investment efficiency;For large-scale enterprises,economic policy uncertainty and enterprise investment efficiency show a non-linear threshold characteristic of decreasing inhibitory effect;uncertainty has a facilitating effect on investment efficiency for small-scale enterprises first,and the effect is not significant after the threshold is breached.(3)The moderating effect of political association remains significant after distinguishing between regional institutional environment,nature of property rights and firm size. |
