Research On The Influence Of Internal Control Information Disclosure And Property Rights On Stock Price Crash Risk

Internal control has a close relationship with the internal management of the company.A sound internal control system is conducive to the authenticity and reliability of corporate accounting information,preventing and detecting fraudulent behavior.The company conducts internal control information by issuing reports such as the Internal Control Self-Evaluation Report,to accept the supervision of the public and the media,further ensures that the design and operation of the internal control of the enterprise is effective.At present,domestic and foreign scholars' research on the factors affecting the stock price crash risk mainly includes internal factors such as accounting information quality and management behavior characteristics,as well as external factors such as institutional investors and analysts' concerns,and less literature has focused on the possible impact of corporate internal control information disclosure on the risk of stock price crashes.Internal control information disclosure helps to reduce the degree of information asymmetry between investors and companies,monitor and inhibit management's information management behavior,stabilize investor sentiment,and thus affect the company's future stock price collapse risk.Therefore,the article links the disclosure of internal control information with the risk of stock price plunging,combines the information transparency between the two,and further dividing the nature of property rights,the mechanism difference between the internal control information disclosure of state-owned enterprises and private enterprises in the stock price crash risk was examined.Firstly,this paper introduces the research background,significance,research methods and main innovations of the article,reviews the related research literature at home and abroad based on internal control information disclosure,the cause of stock price collapse risk and its influencing factors.Then based on the theory of information asymmetry,principal-agent theory,signal transmission theory and the theory of stock price crash risk,the research hypothesis is put forward.Subsequently,select China's Shanghai and Shenzhen A-share listed companies as research samples from 2008 to 2017.After defining relevant variables and establishing models,an empirical test was carried out,and the following research conclusions were drawn:(1)Internal control information disclosure has a significant inhibitory effect on the company's share price collapse risk;(2)Compared with companies with high information transparency,internal control information disclosed by companies with low information transparency can significantlyinhibit the risk of stock price plunging;(3)The stock price crash risk of state-owned enterprises is low,and the economic consequences of internal control information disclosure to curb the stock price crash risk are more evident in non-state-owned enterprises.Finally,based on the above research conclusions,the corresponding policy recommendations are put forward:(1)Listed companies should further improve the construction of internal control information disclosure and attach importance to the transmission of positive economic consequences of information disclosure;(2)Cultivate rational investors and reduce investor heterogeneity;(3)Improve relevant regulations on mandatory disclosure of internal control information,in particular,the low transparency of information and non-state-owned property companies should be strictly controlled to reduce the frequency of stock price crashes and create a transparent and orderly corporate information disclosure environment.