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Government accounting supervision and corporate supply chain risk

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  • Lyu, Yizhen

Abstract

This study examines the impact of government accounting supervision on corporate supply chain risk (SR), leveraging data from inspections of accounting information quality conducted by China's Ministry of Finance from 2000 to 2023. Using a multiperiod difference-in-differences model, the analysis indicates that government accounting supervision significantly reduces corporate SR. This effect is more pronounced for firms with low audit quality, high ownership concentration, and no political connections. These findings provide valuable insights for enhancing supply chain resilience and informing corporate strategies and policymaking.

Suggested Citation

  • Lyu, Yizhen, 2025. "Government accounting supervision and corporate supply chain risk," Finance Research Letters, Elsevier, vol. 74(C).
    • Handle: RePEc:eee:finlet:v:74:y:2025:i:c:s1544612325000509
    DOI: 10.1016/j.frl.2025.106785
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    References listed on IDEAS

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    Cited by:

    1. Liu, Ying & Liu, Shuang & Lu, Yu, 2025. "Supply chain financial risk assessment: A modified graph attention neural network," Finance Research Letters, Elsevier, vol. 86(PA).
    2. Fan, Mengke & Chen, Dan & Lei, Yusen, 2025. "How government accounting supervision affects corporate financialization? Evidence from random inspections by China's ministry of finance," International Review of Economics & Finance, Elsevier, vol. 103(C).
    3. Tianquan Jin & Xiaoming Wei & Qi He & Zhenkun Zhang, 2025. "The Unintended Effect of the Regularized Government Accounting Supervision on Corporate Innovation," Australian Accounting Review, CPA Australia, vol. 35(4), pages 342-356, December.
    4. Zhao, Hongwei & Liao, Weidong, 2025. "The nexus between climate risk and corporate green innovation: the moderating role of supply chain finance," Finance Research Letters, Elsevier, vol. 85(PB).

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    More about this item

    Keywords

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    JEL classification:

    • M48 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting - - - Government Policy and Regulation
    • G30 - Financial Economics - - Corporate Finance and Governance - - - General
    • G32 - Financial Economics - - Corporate Finance and Governance - - - Financing Policy; Financial Risk and Risk Management; Capital and Ownership Structure; Value of Firms; Goodwill

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