JOURNAL OF APPLIED BUSINESS AND ECONOMICS
Ownership Structure and Stock Price Crash Risk: Evidence from China
Author(s): Wenlian Gao, Qiannan Li, Anne Drougas
Citation: Wenlian Gao, Qiannan Li, Anne Drougas, (2017) "Ownership Structure and Stock Price Crash Risk: Evidence from China," Journal of Applied Business and Economics, Vol. 19, Iss.4, pp. 65-78
Article Type: Research paper
Publisher: North American Business Press
Abstract:
This paper examines how corporate ownership concentration affects stock price crash risk in Chinese listed firms. Results show that ownership concentration is negatively associated with firm-specific crash risk and this negative relation is robust against difference-in-difference test. Further evidence demonstrates that the negative relation between ownership concentration and stock price crash risk is more pronounced in privately held firms than in state-owned firms.