Research on Investment Behavior on the Perspective of Managerial Overconfidence: Evidence from Anhui Listed Companies

摘要

In this study, the managerial overconfidence theory was used to examine the over-investment phenomenon in Anhui Listed companies from behavioral corporate finance perspective. The results show that (1) Overconfident managers in Anhui listed companies tended to make over-investment decision, (2) Overconfident managers in Anhui listed companies further strengthened the over-investment behavior in the case of having abundant free cash flow and (3) Compared with non-SOEs, overconfident managers in Anhui state-owned listed companies were more inclined to over-invest in the case of having abundant free cash flow.