Stock Liquidity?Media Attention And Corporate Innovation

This paper uses the Chinese listed companies and macro data sets from 2007 to 2017 to??construct an empirical model to study the impact of stock liquidity on corporate innovation activities.Different from existing research,this paper not only??considers the relationship between “stock liquidity—enterprise innovation”,but also introduces media attention into the above research framework.The study found that stock liquidity is an important factor affecting corporate innovation activities,and media attention acts as a key “catalyst”,which can guide stock liquidity to “selectively” contribute to substantive innovation.Further research has found that under the synergy of stock liquidity and media attention,companies of different natures have different response functions,which will bring heterogeneous impact on innovation input and output.In particular,how stock liquidity combines media attention to enhance corporate investment levels,improve corporate information asymmetry,and ultimately achieve the linkage of “stock liquidity – enterprise innovation” is an important path to achieve enterprise innovation-driven development.