A Stepwise Regression Analysis of the Risk of Corporate Debt Default
- 10.2991/aebmr.k.210712.001How to use a DOI?
- Corporate debt, Default risk, Credit spread, Step regression
Nearly three years, the number of defaulting corporate on the Chinese bond market has risen sharply, and some bonds issued by state-controlled companies that are generally considered to be creditworthy have also defaulted, which all shows that the domestic bond market is changing. This paper selects possible influencing factors of 15 companies that have defaulted on debts in 2019 and 2020 from three aspects: internal objective factors, internal subjective factors, and external factors, using stepwise regression to conduct an empirical analysis on data. The results show that the nature of property rights positively and business illegality negatively correlate with corporate bond risk, which can be used as early warning indicators for corporate debt default risks. Combining with the conditions of the Chinese market, suggestions for the government and investors to reduce the risk of a corporate debt default are made, conducive to the stable operation of the domestic economy and the sustainable development of the bond market.
- © 2021, the Authors. Published by Atlantis Press.
- Open Access
- This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).
Cite this article
TY - CONF AU - Wang Zeyang PY - 2021 DA - 2021/07/12 TI - A Stepwise Regression Analysis of the Risk of Corporate Debt Default BT - Proceedings of the 2021 International Conference on Economic Development and Business Culture (ICEDBC 2021) PB - Atlantis Press SP - 1 EP - 6 SN - 2352-5428 UR - https://doi.org/10.2991/aebmr.k.210712.001 DO - 10.2991/aebmr.k.210712.001 ID - Zeyang2021 ER -