Investor Information Asymmetry Has Increased The Impact Of Economic Policy Uncertainty On The Company's Share Price Collapse Risk?

In the journey of the historical wheel,the global economy has grown stronger in the development opportunities.The source of economic innovation provides new impetus,and policy changes are constantly emerging.The orderly intervention of governments in their economies is not only due to the consideration of policies,but also the need for market penetration and control under the situation that economic policy uncertainty is increasingly motivated.At present,China still lacks in the regulation and improvement of the financial system.The untimely adjustment of macro and microeconomic policies and the inappropriate operation of laws and regulations will expand the scope of economic policy uncertainty in multiples.Years of layout,planning first,in China's current capital market,the progress of securitization is lower than expected,the market growth rate has slowed down noticeably,and there have been unconventional storms in which stock prices have skyrocketed and plummeted.In order to avoid investors' irrational reactions to market information and policy measures in this environment,and the lack of flexible feedback control of market and government's uncertainty about economic policies.Therefore,at the system level,this paper will examine in detail how economic policy uncertainty will affect the development of China's stock market.Especially in the current situation of domestic and international embarrassment,it can not only prevent core risk factors such as sudden risks,but also hedge financial market risks to the extent that it can be controlled.Moreover,real-time monitoring of stock price fluctuations is expected to curb the impact liquidity in the short term and control the stock market's large-scale ups and downs,which will help stabilize the stock market.This paper specifically studies from the following aspects.Firstly,based on different relevant indicators,this paper adopts the latest index of economic and policy correlation constructed by Baker(2016)from the perspective of economic policy uncertainty,that is,economic policy uncertainty.The sex index,by comparing the calculation of the index in different countries,further determines that the index is highly scientific and effective in measuring the economic policy uncertainty of the Chinese market.At the same time,it is found that the economic policy uncertainty index is significantly related to the globally changing economic development situation and the political events that have a significant impact,and has a certain interpretation effect on the stock market peaks and troughs and other obvious fluctuations in theshort-term.At the same time,the construction of the stock price crash risk index to measure the sudden release of the company's accumulated negative news has led to the collapse risk of the listed company's future share price.Secondly,For Chinese economic policy uncertainty and stock price crash risk index,we selected the Shanghai and Shenzhen A-share listed companies for the study,the time interval selected as 2001-2016,examines the impact of economic policy uncertainty on the stock price collapse risk and further examines investors.The role of information asymmetry in the relationship between economic policy uncertainty and stock price collapse risk.The results show that economic policy uncertainty and stock price collapse risk have a significant positive correlation.At the same time,this paper analyzes the nature of enterprise ownership as a starting point and finds non-private enterprises,while private enterprises have to increase their supervision on public supervision.The disclosure of negative information,so its economic policy uncertainty and the stock price collapse risk has a significant negative correlation;further analysis found that investor information asymmetry will significantly increase the positive correlation between economic policy uncertainty and stock price collapse risk;For enterprises with different ownership characteristics,whether private or non-private,investor information asymmetry will aggravate the positive correlation between economic policy uncertainty and stock price collapse risk relationship.In this paper,the research further expands the research on related factors that have an impact on the stock price collapse risk,and expands the relevant literature on the interaction between economic policy uncertainty and stock price collapse risk,and manages different ownership enterprises.Finally,through summarization,the conclusions and conclusions are summarized for the hypothesis and empirical results,and based on the conclusions obtained,this paper proposes constructive suggestions from the perspective of government,regulatory agencies and investors.Government departments should formulate relevant policy measures to boost the real economy,especially private enterprises;regulators should improve the economic fundamentals of the financial system based on the strong support provided by the capital market;investors should be economically stable and good overall.The direction is to guide the rational investment.