Uncertainty Of Economic Policy,Internal Control And Enterprise Risk Taking

As a macro-economic factor,the uncertainty of economic policy will change the market operation environment and affect the operation decision of micro enterprises.China is in a critical period of transition from a high-speed economic development stage to a medium high-speed development stage.Facing the external conditions of Sino US trade friction and world economic downturn,we need not only stable growth,but also adjustment of economic structure and prevention of systemic financial crisis.In this process,the current economic policies will be introduced or changed frequently,resulting in the improvement of the uncertainty of economic policies,which brings external business risks to enterprises,but also brings certain development opportunities,which may have an impact on the level of risk-taking of enterprises.Based on this,this paper uses the "economic policy uncertainty index" developed by Baker et al.(2016),taking the data of Chinese A-share listed companies from 2009 to 2018 as a sample,to study the impact of economic policy uncertainty on enterprise risk-taking,and to test the intermediate role of internal control quality.First of all,we use fixed effect model and mixed cross-section regression to analyze the relationship between economic policy uncertainty and enterprise risk-taking level.Second,we use intermediary effect model to test whether the quality of internal control is the channel of its role.Then,we further analyze the economic policy uncertainty and enterprise risk-taking under the heterogeneity conditions of enterprise scale,enterprise nature,investment opportunities,etc Whether the level relationship will change.The results show that:firstly,the higher the uncertainty of economic policy is,the higher the risk-taking level of enterprises is.Facing the investment opportunities brought by the changes of economic policy,enterprises tend to expand their risk preference and choose those high-risk and high-yield investment projects.Secendly,the intermediary effect test shows that internal control will have a covering effect on the positive correlation between the uncertainty of economic policy and the risk-taking of enterprises.It should be proved that the object of internal control is risk,and high-quality internal control can restrain the risk-taking level of enterprises to a certain extent.Thirdly,further research finds that compared with state-owned enterprises,the incentive effect of economic policy uncertainty on the risk-taking level of enterprises is more obvious in non-state-owned enterprises,because state-owned enterprises enjoy the government's "Father love effect" and undertake social responsibilities such as stable employment,so it is not as sensitive to the changes of economic policies as non-state-owned enterprises;with the increase of investment opportunities,the positive correlation between the uncertainty of economic policies and the risk-taking of enterprises will also increase,which may be because more investment opportunities give enterprises more choices and stimulate the risk preference of enterprises.Finally,the regulatory role of enterprise scale and listed market is not significant.As a listed enterprise,it shows the success of its operation.Therefore,it is all the high-quality customers of the bank with small financing constraints.Under the influence of economic policy uncertainty,the level of risk-taking has little difference.Based on this,when making and changing the current economic policies,the government should pay attention to the increase of the risk preference of the enterprises,and guard against the occurrence of systematic financial risks.The enterprises should pay close attention to the policy trend of the government,take advantage of the national policy support and seize the opportunity to accelerate the development.