Cross Default System of Bonds and Corporate Innovation:Promoting or Inhibiting?
Issuing bonds is an important way for enterprises to raise funds.The article takes all bonds issued by Chinese enterprises from 2016 to 2021 as research samples and empirically tests the impact of cross default system on corporate innovation.The re-search results indicate that the cross default system of bonds promotes corporate innovation and the cross default system mainly af-fects corporate innovation by alleviating financing constraints and principal-agent problems.Meanwhile,the cross default system has a more significant promoting effect on innovation in bond issuing enterprises with low short-term solvency,no"prior"restric-tive clauses,default situations in the industry,and high economic policy uncertainty.The economic consequence test shows that the bond cross default system improves the total factor productivity of enterprises.Research suggests that greater protection should be provided to bond investors to promote the healthy development of the bond market.
NETL
NSTL
万方数据
