Eight Points Rules,Property Rights And Business Entertainment Fees

Since the introduction of the"eight-point rules",which aimed to curb extravagance and improve officials' work style,the discipline of party members and administrative staff has been rectified.The"eight-point rules"emphasize the simplicity of the reception style,reduce the extravagant banquet,and directly inhibit the corruption on the tip of the tongue.This article focuses on the special subject Business Entertainment and examines the effect of policies from the perspective of the capital market.The study found that after the adopting of the"eight-point rules",corporate business entertainment fees dropped significantly,and the amount of business entertainment fees for state-owned enterprises was lower,with a larger decline and a smaller increase.This conclusion is established whether it is measured by the absolute value of the business entertainment fees or by the relative value of the operating income as a standardized treatment.From the perspective of different sectors,this effect is most noticeable on the main board,but not significant on the Growth Enterprise Market.At the same time,the study found that the cost reduction after the eight regulations is a real cost reduction instead of the cost manipulation transfer.Since the"eight-point rules"aiming at curb extravagance,the decline in business entertainment fees brought about an increase in corporate performance,and the possibility of a rise in the performance of state-owned enterprises was greater,reflecting the positive effect of central governance on the market economy.The anti-corruption movement is a continuous national governance movement.At present,the disciplinary deterrence that does not dare to be corrupted has been initially realized.The system cage that cannot be corrupted still needs to be realized by improving the corporate governance.