The level of corporate risk taking and the secondary allocation of commercial credit: evidence from China

The liability insurance of directors and executives has been introduced into more companies, the risk-taking level company improved, which a great impact on allocation commercial credit. In complex market, mechanisms that act under different environmental conditions are different, secondary credit leads to extension supply chain funds, intensifies financial risks chain. Therefore, it is significance explore relationship between corporate mechanism action for preventing systemic in promoting stable economic development. This paper took China's listed companies from 2009 2020 as example, empirically examined improvement company's its research found that: First, initiative re-allocate purposes maintaining customer relationships, normal operation chain, enhancing market status. Second, enterprises used increase mortgage loans bank intermediary, increased cash payments upstream downstream reduced accounts payable carry out Third, further analysis heterogeneity, was this behavior common state-owned significant when external competition strong. findings showed higher purchased D&O insurance, inclined they were credit, aggravated risks.