Stock Market, Capital Flow and Industrial Structure Escalation in China

摘要

The impact of financial markets on firms and industries has been relatively neglected in the field of management. This dissertation addresses this gap by developing theory and testing hypotheses with a large scale empirical analysis of 11 years panel of China firms. This article discuss the operating system of industrial structure adjustment with a stand point of stock market, and analyze empirically the relation between financing in stock market and industrial structure adjustment based on the related data between 1994-2005, we find out that the scale of the stock market positive correlation with adjustment of industrial structure, the results have implications for evolutionary theories by showing that stock markets play an important role in promoting industrial structure evolution in China.