The Influence Of Financialization Of Non-financial Enterprises On Risk Taking

In the context of the financialization of the world economy,with the continuous decline of the profit margin of the industrial economy and the gradual slowdown of China’s economic growth,the influence of the phenomenon of excessive transfer of economic resources to the financial sector on the sustainable development of the real economy has attracted extensive attention from scholars and relevant departments of the state.Among them,the risk taking level of micro enterprises,as the comprehensive risk result formed by various management decisions in the operation process,is the guarantee of long-term stable operation of enterprises.However,in the current research on the economic consequences of financialization of non-financial enterprises from the perspective of enterprise risk,the risk factors of enterprises are only included in the enterprise performance or enterprise value,or only discussed their impact on the single risk type such as financial risk or operational risk,and the direct consideration of the comprehensive risk level of enterprises is insufficient.In addition,the existing researches on corporate financialization and risk taking mostly focus on analyzing its mechanism from the perspective of motivation,ignoring the heterogeneity of maturity types of financial assets.So,how will the deepening of the financial degree of non-financial enterprises affect their own risk taking level? Does the impact differ depending on the type of financial asset? For heterogeneous firms,will the overall level of financialization and allocation ratio of different types of financial assets have significantly different effects on risk taking? The answers to these questions will help to reveal and clarify the internal mechanism of the influence of the financialization of non-financial enterprises on enterprise risk taking,and also provide a theoretical basis for the government to issue economic policies and guide enterprises to rationally allocate financial assets to realize the goal of preventing and resolving major risks.Based on China’s non-financial listed companies from 2010 to 2020 as sample,first of all,we analyze the present situation of the level of non-financial enterprises in China.Secondly,on the basis of previous studies,based on the mechanism,through theoretical analysis and in combination with related literature at home and abroad to make hypothesis,by using multiple regression model,we empirically tests the financialization of entity enterprises and risk taking,and deeply explores the influence of financial assets held by enterprises with different maturity types on enterprise risk-taking.Finally,the relationship between financialization and enterprise risk taking is further discussed from the perspective of property rights and financing constraints.The results show that:(1)The financialization level of non-financial enterprises in China shows an obvious upward trend,and have obvious difference characteristics in different property rights,different financing constraints and different industries;(2)Financialization of non-financial enterprises will significantly improve the level of risk taking;(3)Allocation level of short-term financial assets will reduce corporate risk taking,while allocation level of long-term financial assets will increase corporate risk taking;(4)Financialization of non-state-owned enterprises has a greater positive impact on enterprise risk taking,while the degree of financialization of state-owned enterprises has no significant positive impact on risk taking.Allocation of short-term financial assets of non-state-owned enterprises has a more significant negative impact on risk taking.(5)Compared with low financing constraints,the positive impact of financialization on risk taking is stronger among high financing constraint enterprises,and its short-term financial assets can reduce risk more significantly,the positive role of long-term financial asset holdings on risk taking did not differ significantly from financing constraints to different financing constraints.Based on the empirical results,we get the following suggestions:(1)Enterprises should focus on the development of their main business and rationally allocate financial assets;(2)Enterprises should further optimize the structure of financial asset allocation and improve the efficiency of capital use;(3)The state should improve relevant laws and regulations to strengthen the supervision of enterprise financialization;(4)The state should strengthen policy support and create a good market operation environment.