Research On The Impact Of The Establishment Of City Commercial Banks On Corporate Investment Expenditur

In the troika of investment,consumption and export trade,the role of investment is self-evid ent.Investment is not only the core driving force to promote economic development,but also the most direct and effective way to promote economic growth.As the main body of investment,ente rprises greatly promote the development of society.Fundamentally speaking,the progress of prod uction,the improvement of living standards and social development are closely related to investm ent and economic growth.Investment has become the main contributor to the healthy developme nt of the national economy.As the cell of the national economy,enterprises have a closer relation ship with investment.Investment is a firm force to promote the development of enterprises.First,the establishment of new enterprises depends on investment;Secondly,without investment,exist ing enterprises cannot develop;Finally,the development process of enterprises is often accompan ied by the competition of survival of the fittest among enterprises,the development and expansio n of advantageous enterprises,the bankruptcy and disappearance of inferior enterprises,the appli cation of bankruptcy law and enterprise merger,all run through the overall movement of investm ent.But now "financing difficulty" has become an important factor restricting enterprise investm ent expenditure.With the deepening of financial system reform,urban commercial banks with re gional characteristics have developed rapidly.They serve not only local economic development,but also small and medium-sized enterprises and urban and rural residents.Therefore,urban com mercial banks have a close relationship with local economic development and investment and fin ancing of enterprises.This paper focuses on the impact of the establishment of urban commercial banks on the inv estment expenditure of enterprises,discusses the differences of the impact of the establishment of urban commercial banks on the investment expenditure of different types of enterprises,and stud ies how the establishment of urban commercial banks affects the investment expenditure of enter prises by affecting the financing constraints of enterprises and local economic growth.At the sam e time,this paper also makes a further analysis on the impact of urban commercial bank expansio n on enterprise investment expenditure.Based on the quasi natural experiment of the establishme nt of urban commercial banks,combined with the database of China’s industrial enterprises from1998 to 2013,the data of 287 prefecture level cities and the establishment data of urban commerc ial banks,this paper uses the progressive double difference model to study the impact of the estab lishment of urban commercial banks on the investment expenditure of enterprises.The results sho w that:(1)there is an obvious positive correlation between the establishment of urban commercia l banks and the investment expenditure of enterprises.(2)Compared with large state-owned enter prises and foreign holding enterprises,the establishment of urban commercial banks is more help ful to promote the increase of investment expenditure of small and medium-sized private enterpri ses.(3)City commercial banks promote the increase of enterprise investment expenditure by pro moting local economic growth and alleviating enterprise financing constraints.(4)The expansion of urban commercial banks is not conducive to the increase of investment expenditure of local e nterprises.The innovations of this paper are as follows:(1)it enriches the relevant research on enterpri se investment expenditure behavior.This paper establishes the logical relationship between enter prises and the establishment of commercial banks to make up for the deficiency of the existing re search.(2)Expand the factors affecting enterprise investment expenditure.Starting with the estab lishment of urban commercial banks,this paper gives a new explanation of the influencing factor s of enterprise investment,which enriches the factors affecting enterprise investment.(3)This pa per studies the intermediary mechanism between the establishment of urban commercial banks an d enterprise investment expenditure.While comprehensively studying the relationship between th e establishment of urban commercial banks and enterprise investment expenditure,this paper dis cusses its influence path,and constructs the intermediary mechanisms of "establishment of urban commercial banks-financing constraints-enterprise investment expenditure" and "establishmen t of urban commercial banks-local economic growth-enterprise investment expenditure",It ma kes up for the gap of relevant research at present.