An Empirical Study on the Impact of Targeted Poverty Alleviation Policies on the Quality of Accounting Information of Manufacturing Companies

Abstract

Manufacturing is the mainstay of the national economy, the healthy development of manufacturing enterprises is of great significance. Based on the perspective of the quality of accounting information of manufacturing enterprises, the impact of government poverty alleviation policies on manufacturing is analyzed. Using the sample of manufacturing companies from 2016 to 2018, this article empirically examines the impact of manufacturing companies' participation in targeted poverty alleviation led by the government on the quality of their own accounting information. The study found that compared with manufacturing companies that didn't participate, manufacturing companies participating in targeted poverty alleviation showed higher quality of accounting information, and there was a significant positive correlation between the two. And after using the instrumental variable (IV) method to control the endogenous problem, the above conclusions were still stable. Further research found that the above relationship only existed significantly in the sample of non-state-owned manufacturing enterprises. The research has enriched the relevant literature on manufacturing and accounting governance, and has provided some enlightenment for how to improve the quality of accounting information of manufacturing companies against the realistic background.