The environmental protection law and the zombie companies – evidence from a quasi-natural experimental method
ABSTRACTThis paper takes the public companies as a sample during 2012–2017, using DID analysis to test the relationship between 2015 new ‘Environmental Protection Law’ and zombie companies. The results show that the promulgation of the new environmental protection law has significantly negative with...
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Format: | Article |
Language: | English |
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Taylor & Francis Group
2023-04-01
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Series: | China Journal of Accounting Studies |
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Online Access: | https://www.tandfonline.com/doi/10.1080/21697213.2023.2249041 |
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author | Donghua Zhou Yuxiu Huang |
author_facet | Donghua Zhou Yuxiu Huang |
author_sort | Donghua Zhou |
collection | DOAJ |
description | ABSTRACTThis paper takes the public companies as a sample during 2012–2017, using DID analysis to test the relationship between 2015 new ‘Environmental Protection Law’ and zombie companies. The results show that the promulgation of the new environmental protection law has significantly negative with zombie enterprises. The strengthening of environmental regulation has accelerated of transformation and upgrading by assets restructuring and promoted technological innovation, which inhibiting the formation of zombie enterprises. Furthermore, this paper found that the negative relationship between environmental law and zombie companies mainly concentrate in non-state-owned enterprises, small-scale enterprises and enterprises with high regional environmental law enforcement intensity. Moreover, the promulgation of the new environmental law has a significant positive effect on corporate value in the medium and long term. This paper enriches the research literature in the field of zombie enterprises and economic consequences of environmental regulation. |
first_indexed | 2024-03-10T08:21:09Z |
format | Article |
id | doaj.art-0b1fc6dec7f7465e84c7468c2d6d300e |
institution | Directory Open Access Journal |
issn | 2169-7213 2169-7221 |
language | English |
last_indexed | 2024-03-10T08:21:09Z |
publishDate | 2023-04-01 |
publisher | Taylor & Francis Group |
record_format | Article |
series | China Journal of Accounting Studies |
spelling | doaj.art-0b1fc6dec7f7465e84c7468c2d6d300e2023-11-22T09:54:26ZengTaylor & Francis GroupChina Journal of Accounting Studies2169-72132169-72212023-04-0111224726910.1080/21697213.2023.2249041The environmental protection law and the zombie companies – evidence from a quasi-natural experimental methodDonghua Zhou0Yuxiu Huang1School of Accountancy, Jiangxi University of Finance and Economics, Nanchang, ChinaSchool of Accountancy, Jiangxi University of Finance and Economics, Nanchang, ChinaABSTRACTThis paper takes the public companies as a sample during 2012–2017, using DID analysis to test the relationship between 2015 new ‘Environmental Protection Law’ and zombie companies. The results show that the promulgation of the new environmental protection law has significantly negative with zombie enterprises. The strengthening of environmental regulation has accelerated of transformation and upgrading by assets restructuring and promoted technological innovation, which inhibiting the formation of zombie enterprises. Furthermore, this paper found that the negative relationship between environmental law and zombie companies mainly concentrate in non-state-owned enterprises, small-scale enterprises and enterprises with high regional environmental law enforcement intensity. Moreover, the promulgation of the new environmental law has a significant positive effect on corporate value in the medium and long term. This paper enriches the research literature in the field of zombie enterprises and economic consequences of environmental regulation.https://www.tandfonline.com/doi/10.1080/21697213.2023.2249041Environmental protection lawzombie companiesenterprises innovationasset restructuring |
spellingShingle | Donghua Zhou Yuxiu Huang The environmental protection law and the zombie companies – evidence from a quasi-natural experimental method China Journal of Accounting Studies Environmental protection law zombie companies enterprises innovation asset restructuring |
title | The environmental protection law and the zombie companies – evidence from a quasi-natural experimental method |
title_full | The environmental protection law and the zombie companies – evidence from a quasi-natural experimental method |
title_fullStr | The environmental protection law and the zombie companies – evidence from a quasi-natural experimental method |
title_full_unstemmed | The environmental protection law and the zombie companies – evidence from a quasi-natural experimental method |
title_short | The environmental protection law and the zombie companies – evidence from a quasi-natural experimental method |
title_sort | environmental protection law and the zombie companies evidence from a quasi natural experimental method |
topic | Environmental protection law zombie companies enterprises innovation asset restructuring |
url | https://www.tandfonline.com/doi/10.1080/21697213.2023.2249041 |
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