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Does provincial gambling intensity affect corporate maturity mismatch? Evidence from China

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  • Shi, Hui

Abstract

This study examines how provincial gambling intensity influences corporate maturity mismatch under informal institutional frameworks. Results indicate that gambling intensity significantly exacerbates corporate maturity mismatch, primarily mediated through managerial overconfidence and risk-taking incentives. Furthermore, this research demonstrates that heightened maturity mismatch caused by gambling intensity increases corporate financial risks. However, the effects of gambling intensity on maturity mismatch are mitigated by robust internal controls, executive shareholdings, analyst coverage, and quality auditors. These findings contribute to the institutional theory literature by quantifying the micro-level implications of gambling practices, while providing empirical evidence for policymakers to balance regional economic vitality with financial stability through debt structure regulation.

Suggested Citation

  • Shi, Hui, 2025. "Does provincial gambling intensity affect corporate maturity mismatch? Evidence from China," Finance Research Letters, Elsevier, vol. 79(C).
    • Handle: RePEc:eee:finlet:v:79:y:2025:i:c:s1544612325004581
    DOI: 10.1016/j.frl.2025.107195
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    References listed on IDEAS

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    JEL classification:

    • G30 - Financial Economics - - Corporate Finance and Governance - - - General
    • M41 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting - - - Accounting
    • Z10 - Other Special Topics - - Cultural Economics - - - General

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