Author(s)

Xilan Yang, Huawei Luo

Corresponding Author

Huawei Luo

Abstract

Based on the data of equity pledge of private listed companies in recent 5 years, this paper systematically analyzes the characteristics and economic consequences of equity pledge of private listed companies, and puts forward countermeasures accordingly. The research shows that the number of private listed companies involved in equity pledge is increasing year by year. The government should dilute the atmosphere of seeking quick success and quick profits, and refine the regulation rules. Listed companies should invest according to their capacity and improve the governance mechanism.

Keywords

Equity pledge, Adverse economic consequences, Economic transformation