摘要： •We examine the impact of banking system reform on firms’ financial decisions.•Politically-oriented investment problem of SOEs would be mitigated.•Underinvestment problem of Non-SOEs appears to be alleviated.•Leverage plays an important role in investment activities following reform. This study investigates the effect of banking system reform on the investment behavior of Chinese listed firms. We find that the politically-oriented investment problem for state-controlled listed companies is mitigated by the reform due to foreign participation in the management of Chinese banks. The problem of underinvestment in non-state-controlled listed companies also appears to be alleviated due to an increase of bank loans. We include leverage in our analysis and the main findings are robust. The results provide evidence that Chinese banking system reform has increased the efficiency of resource allocation, easing investment distortions in state-controlled listed companies and reducing financial constraints in non-state-controlled listed companies. 出版者： Amsterdam: Elsevier B.V 出版日期： 2014-09-01 出處： Journal of Banking & Finance, 2014-09, Vol.46, p.166-176 資源來源： Elsevier ScienceDirect Journals 版權： 2014 Elsevier B.V. 版權： Copyright Elsevier Sequoia S.A. Sep 2014 識別號： ISSN: 0378-4266 識別號： EISSN: 1872-6372 識別號： DOI: 10.1016/j.jbankfin.2014.04.022 識別號： CODEN: JBFIDO
