The effects of government venture capital: New evidence from China based on a two-sided matching structural model

IF 7.2 1区经济学 Q1 BUSINESS, FINANCE Journal of Corporate Finance Pub Date : 2023-11-25 DOI:10.1016/j.jcorpfin.2023.102521

Jing Zhang , Yueqi Fan , Ye Liu

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Abstract

This study develops a two-sided matching structural model to examine whether government venture capitals (GVCs) crowd out private venture capitals (PVCs) by comparing the pre-money economic valuation of observed and counterfactual investments. The structural model also allows us to study the impacts of GVCs on the post-investment performance of the funded companies. Using China's VC market data between 2000 and 2020, we find that GVC-funded companies are those neglected by PVCs, and the potential economic performance of GVC-funded companies is inferior to that of PVC-funded ones. It means that the data do not support the crowding out conjecture. Moreover, the evidence suggests that the potential innovativeness of GVC-funded companies is higher than that of PVC-funded companies, indicating that GVCs bridge the equity gap left by PVCs in innovative companies. Regarding the impacts on companies' post-investment performance, GVCs are not significantly different from PVCs in improving companies' economic performance, and they are better than PVCs in improving companies' innovative performance. We also explore the impacts of different types of GVCs, the impacts of the co-investment between GVCs and PVCs, and the impacts of GVCs on companies in different stages of development.

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政府风险投资的影响:基于双边匹配结构模型的中国新证据

本研究建立了一个双边匹配结构模型，通过比较观察和反事实投资的货币前经济估值，来检验政府风险资本(gvc)是否排挤私人风险资本(pvc)。结构模型还允许我们研究全球价值链对被投资公司投后绩效的影响。利用2000 - 2020年的中国VC市场数据，我们发现gvc资助的公司是那些被pvc忽视的公司，gvc资助的公司的潜在经济绩效不如pvc资助的公司。这意味着数据不支持挤出猜想。此外，有证据表明，gvc资助的公司的潜在创新能力高于pvc资助的公司，这表明gvc弥补了创新型公司中pvc留下的股权缺口。在对公司投资后绩效的影响方面，全球价值链在提高公司经济绩效方面与pvc没有显著差异，而在提高公司创新绩效方面则优于pvc。我们还探讨了不同类型的全球价值链的影响，全球价值链与pvc共同投资的影响，以及全球价值链对不同发展阶段的公司的影响。

本文章由计算机程序翻译，如有差异，请以英文原文为准。

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来源期刊

Journal of Corporate Finance BUSINESS, FINANCE-

CiteScore

11.80

自引率

3.30%

发文量

期刊介绍： The Journal of Corporate Finance aims to publish high quality, original manuscripts that analyze issues related to corporate finance. Contributions can be of a theoretical, empirical, or clinical nature. Topical areas of interest include, but are not limited to: financial structure, payout policies, corporate restructuring, financial contracts, corporate governance arrangements, the economics of organizations, the influence of legal structures, and international financial management. Papers that apply asset pricing and microstructure analysis to corporate finance issues are also welcome.