The Impact of Media Coverage on the Agency Costs-Evidence from Chinese Listed Manufacturing Companies

DOI

10.2991/icpel-16.2016.30How to use a DOI?

Keywords

media coverage, double agency costs, manufacturing industry, media environment, location differences

Abstract

Taking manufacturing industry as an example, this paper aims to analyze the effect of media coverage on the agency costs from multiple agency cost perspective. Using the data of Chinese A-share listed companies from 2010 to 2014, this paper creatively analyzed the media environment differences and regional differences in the role of the impact of media coverage on the agency costs. Specifically, this paper used instrumental variables and got multiple regression analysis of the whole sample and two sub-samples, which were decided by the media environment and regions. It draws a conclusion that media coverage is more able to affect the agency costs in the poor media environment and in the North. Therefore, we should pay more attention to the media environment differences and location differences. Then we ought to make full use of media coverage to reduce agency costs.

Copyright

© 2016, 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/).

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TY  - CONF
AU  - Yiyang Lin
PY  - 2016/05
DA  - 2016/05
TI  - The Impact of Media Coverage on the Agency Costs-Evidence from Chinese Listed Manufacturing Companies
BT  - Proceedings of the 2016 International Conference on Politics, Economics and Law (ICPEL 2016)
PB  - Atlantis Press
SP  - 126
EP  - 130
SN  - 2352-5398
UR  - https://doi.org/10.2991/icpel-16.2016.30
DO  - 10.2991/icpel-16.2016.30
ID  - Lin2016/05
ER  -