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Relationship between administrative punishment and corporate debt financing

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  • Jia, Haibo
  • Xue, Jun

Abstract

This paper selects China's A-share listed companies as a sample from 2016-–2022 and systematically explores the far-reaching impact of listed companies' administrative penalties on corporate debt financing. The results of the study show that administrative penalties have a significant negative impact on the scale of debt financing of enterprises in the following year, and this impact is relatively small in state-owned enterprises. In addition, the degree of market development of the region keeps shrinking the scale of corporate debt financing after administrative punishment.

Suggested Citation

  • Jia, Haibo & Xue, Jun, 2024. "Relationship between administrative punishment and corporate debt financing," Finance Research Letters, Elsevier, vol. 64(C).
    • Handle: RePEc:eee:finlet:v:64:y:2024:i:c:s154461232400480x
    DOI: 10.1016/j.frl.2024.105450
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    1. Zhang, Ning & Li, Yabei & Li, Hao, 2025. "Regulatory penalties and the growth of the insurance companies: Empirical evidence from China," Finance Research Letters, Elsevier, vol. 75(C).
    2. Lin, Xiaowen & Liu, Hancheng & Luo, Yueli & Sun, Li & Long, Houyin, 2026. "Does command-based environmental regulation affect corporate labor income share? Micro evidence from China," Finance Research Letters, Elsevier, vol. 89(C).
    3. Xu, Yong & Jia, Xinxin, 2025. "Administrative penalties and enterprise value: the moderating effect of patent administrative enforcement," Finance Research Letters, Elsevier, vol. 86(PE).

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