Research On The Impact Of Accelerated Depreciation Policy On The Stock Price Fluctuation Of Manufacturing Listed Companies

In recent years,the decline in manufacturing investment growth,the lack of investment capacity of their own enterprises and the high cost of external financing constraints of the transformation and upgrading of manufacturing enterprises.On October 20,2014,the Ministry of Finance and the State Administration of Taxation jointly issued the "Notice on Improving the Enterprise Income Tax Policy for Accelerating Depreciation of Fixed Assets"(Finance and Taxation [2014] No.75 document),The paper is based on the research background,studys the stock market reaction of the new policy on accelerated depreciation of fixed assets,namely research the impact of the new policy on the stock price volatility of manufacturing listed companies.Based on the related literature and theory research,The paper uses the event study method to analyze the daily return data of 827 manufacturing listed companies,observes the effect of the new policy on accelerated depreciation of fixed assets on the average excess return rate and the cumulative excess return of the total sample of listed companies as well as the sub sample listed companies.And the multiple regression method is used to test the different market reaction of different manufacturing listed companies to the new policy on accelerating the depreciation of fixed assets.The results show that the daily average abnormal return rate AARt and the cumulative average abnormal return rate CAARt of listed companies in the total sample of manufacturing industry have a positive trend from positive to negative,It can be seen that the investors of the stock market have experienced the change from "expectation" to "disappointment",it shows that the China's new policy of accelerated depreciation of fixed assets is not well fit for the stock market.Comparing with the cumulative average abnormal return rate CAARt of multiple sub sample listed companies,the results of the preliminary statistics are similar to those obtained by multiple regression analysis,That is,compared to other manufacturing listed companies,belonging to the policy focus on the benefits of manufacturing listed companies and R&D investment intensity of manufacturing listed companies have better market reaction;However,there is little correlation between rate of fixed assets renewal of manufacturing listed companies and its performance in the stock market.To a certain extent,investors unscrambles the emphasis on the new policy of the accelerated depreciation of fixed assets is still in place.Finally,combined with the main conclusions,the paper puts forward the corresponding countermeasures and suggestions for the government,manufacturing listed companies and investors.