Research On The Impact Of Information Disclosure Quality Of Agricultural Listed Company On The Cost Of Equity Financing

The impact of information disclosure quality on the cost of equity financing is one of the important research fields in the capital market.The phenomenon of information asymmetry exists between investors and managers,this phenomenon will weaken the stock liquidity of listed company in the capital market and increase the uncertainty of the investment income in the future,while the listed company information disclosure behavior as a kind of good conduction mechanism makes this problem can be alleviated,thus it has a positive effect on the reduction of the cost of equity financing.This conclusion is supported by the majority of domestic and foreign scholars' theoretical analysis and empirical test;However,there are a small part of the scholars draw the opposite conclusion through empirical research.In fact,these studies are aimed at all listed company to expand the research,At present,there is no empirical research on the listed company in special industry.If research on agricultural listed company on the background of China's securities market and the special national conditions of the agricultural industry,Whether this effect will be different? This article will take the agricultural listed company as the research object,to explore the impact of information disclosure quality on the cost of equity financing.This paper uses the literature research and the statistical analysis method,at first,it reviews the relevant domestic and international research literature to understand the relationship between the information disclosure quality and corporate financing cost.Then make a summary and looking for a research perspective.Constructing the theoretical analysis framework of this paper based on information asymmetry theory,signal transmission theory,pecking order theory and so on.Next,put forward two hypotheses:(1)The higher the quality of information disclosure of agricultural listed company in the current period,the lower the cost of equity financing in the later period.(2)The higher the quality of the current information disclosure of agricultural listed Company,the lower the cost of equity financing in the second period.Before the empirical analysis,this paper firstly introduces the present situation of the financing and the information disclosure of agricultural listed company.Then take the agricultural listed company of Shenzhen stock exchange from 2011 to 2013 as the sample,the quality of information disclosure as explanatory variable,the cost of equity financing as the explained variable,at the same time set the size of the company,financial leverage,profitability and book-to-market ratio as control variables,established a multipleregression model to verify the correlation between the explanatory variable and the explained variable.It will use the information disclosure assessment results published by Shenzhen stock exchange to measure the explanatory variables,and use the PEG ratio method to calculate the explained variables.At the same time,the CAPM method was used to calculate the explained variables to inspection the result.The empirical results of the two methods are shown that the information disclosure quality of agricultural listed company is negatively related to the equity financing,That is,the higher the quality of information disclosure of agricultural listed company,the lower the cost of equity financing in the next phase,But the impact of the information disclosure quality of agricultural listed company on the equity financing cost on the second issue is not significant.At the end of this paper,the conclusions of the study are summarized.At the same time,it puts forward some policy suggestions to improve the information disclosure quality of agricultural listed company and perfect the information disclosure system of listed company in special industry.