State ownership, information asymmetry and cash holding: Impact of COVID-19 on Chinese-listed firms

Frontiers in Psychology

article

Danni Yu¹  Weini Soh²  Bany Ariffi Amin Noordin²  Mohamed Hisham Yahya²  Badar Latif² 

[1] Department of International Education, Shandong Youth University of Political Science;Department of Accounting and Finance, University of Putra Malaysia

关键词: COVID-19;    information asymmetry;    Cash holdings;    state ownership;    Corporate Governance;    China;   

DOI  :  10.3389/fpsyg.2022.1052979

学科分类：社会科学、人文和艺术（综合）

来源: Frontiers

【 摘 要 】

This study investigates the relationship between information asymmetry and cash holdings under the impact of the coronavirus disease 2019 (COVID-19) in China. It likewise explores how state ownership dominates their nexus, particularly during the pandemic. COVID-19 caused increases in cash holdings, and that the information asymmetry’s effect on cash holdings is more pronounced over the COVID-19 period. Additionally, information asymmetry has a weaker effect on corporate cash holdings for state-owned enterprises (SOEs) under the pandemic. Overall, the study shows that state ownership moderates information asymmetry’s impact on cash holdings and softens firms’ precautionary motive for cash holdings during the pandemic.

【 授权许可】

CC BY