How does the minimum wage rise affect the accounting conservatism?
The minimum wage is an important mechanism for the government to regulate the labor mar-ket and protect the rights and interests of workers,and it will have wide-ranging and far-reaching effects on economic activities.This paper examines the effects of minimum wage increases on accounting conserva-tism,using data from A-share listed companies and minimum wage data for various cities from the year 2008 to 2020.The research finds that minimum wage increases significantly enhance accounting conserva-tism,and this conclusion exhibits a high degree of robustness.The results of the mechanism test show that minimum wage increases mainly promote the improvement of accounting conservatism by optimizing human resource quality and reducing corporate risk-taking.Heterogeneity analysis indicates that minimum wage increases have a more significant impact on the enhancement of accounting conservatism when companies have stronger labor-intensive characteristics,lower average wages,more intense competition in the local labor market,and poorer financial conditions.Economic consequence tests show that during periods of min-imum wage increasing,firms can obtain more bank loans by enhancing accounting conservatism.
万方数据
维普
