Research On The Impact Of Economic Policy Uncertainty On Corporate Performance

In recent years,the driving force of global economic growth has weakened.In order to cope with risks,seize opportunities and prevent economic recession,various countries have introduced relevant measures in the hope of increasing the strength of market regulation and slowing down or even reversing the situation of economic recession.However,these regulation and intervention measures will make the global economy more unstable.As one of the most important economies in the world,China is inextricably linked with the vast majority of countries.It is impossible to stay aloof and inevitably affected.The Chinese government has also introduced frequent regulatory measures,which have increased the uncertainty of economic policy while alleviating the economic recession.Manufacturing industry is an important economic pillar in China.To explore the impact of economic policy uncertainty on the performance of manufacturing enterprises has both theoretical guidance and practical application.In this paper,the data of Listed A-share manufacturing companies in China from 2010 to 2020 are taken as research samples,and the comprehensive score of factors that can comprehensively reflect enterprise performance is extracted through factor analysis as an indicator to reflect enterprise business performance.EPU index constructed by Baker et al is taken as explanatory variable,and A series of characteristic variables are controlled.At the same time,the annual effect and individual effect are controlled,and a multiple regression model is constructed to study the impact of economic policy uncertainty on the performance of manufacturing enterprises.The results show that economic policy uncertainty has a significant positive effect on firm performance.For firms with high equity balance,the positive impact of economic policy uncertainty on firm performance will be weakened.Compared with non-state-owned enterprises,the level of economic policy uncertainty has a lower positive effect on the performance of state-owned enterprises.At present,there is a lack of research on the impact of economic policy uncertainty on enterprise performance at home and abroad.This study enriches the field and provides effective reference for how governments make economic policies and how enterprises take advantage of the opportunities brought by economic policy uncertainty to develop themselves.