Research On Impact Of Social Responsibility Information Disclosure On Corporate Capital Structure And Its Dynamic Adjustment

In recent years, due to the intensified social contradictions caused by food and traffic safety, environmental pollution and labor disputes, the public voice and the pressure of opinion required all companies to enhance sense of social responsibility, to undertake and perform social responsibility. Social responsibility information disclosure could alleviate the risk of information asymmetry for investors effectively, and had an important impact on investment and financing behavior in the capital market, so as to affect the capital structure and its dynamic adjustment. However, we really do not know whether and how social responsibility information disclosure affected the capital structure and its dynamic adjustment, so it is an essential research topic to fully understand the functional mechanism of social responsibility information disclosure on firm capital structure and its dynamic adjustment.In this paper, it took pure A-share listed companies from 2009 to 2012 as samples to test relationship between whether to disclose social responsibility information as well as its quality disclosed and capital structure as well as its adjustment speed using method of system GMM and fixed effect model based on“two stage method”respectively, and then to judge firm’s financing constraint condition according to the relative size between threshold variable and threshold values with firm size as threshold variable, so that it coul d be easy to discuss whether there existed differences of sensitivity of the above relationship for firm with different degree of financing constraint.The results showed that firm capital structure had a negative relationship with whether to disclose social responsibility information and its quality disclosed. What is more, capital strcture adjustment speed was also negative correlation with them if taking adjustment cost into account. Besides, research based on financing constraint found that firm’s capital structure and its adjustment speed were more sensitive to whether to disclose social responsibility information and its quality disclosed with financing constraintcompared with non-financing constraint firms. The study disclosed functional mechanism of social responsibility information disclosure on capital structure and its dynamic adjustment, which could initiate firm s to set up sense of capital structure optimization and provide some guidance for real capital structure adjustment path, all this were much beneficial to firm to adapt to market changes actively and flexibility.