Supporting or Not: Does Government Subsidies Enhance the Value of Photovoltaic Enterprises? Research on Quantile Regression on Least Square Regression

Abstract

This paper adopts the data of China's A-share PV companies listed in 2009-2017 to study whether government subsidy amount, subsidy link, and other factors affect corporate value. We also examine the role and mechanism of government subsidies on corporate value under different property rights. An obviously positive correlation is found between government subsidies and the value of companies, and the increase in corporate value of government subsidies is significant in private enterprises and midstream enterprises. The research of this paper is theoretically and practically significant for the deeper understanding of government-enterprise relations in supply-side structural reforms.