Institutional characteristics, investment sensitivity to cash flow and Tobin's q: Evidence from the Middle East and North Africa region

IF 16.4 1区化学 Q1 CHEMISTRY, MULTIDISCIPLINARY

Accounts of Chemical Research Pub Date : 2020-01-03 DOI:10.1111/infi.12366

Abed Al-Nasser Abdallah, Wissam Abdallah, Mohsen Saad

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引用次数: 4

Abstract

We examine the sensitivity of corporate investment to stock-market valuations (measured by Tobin's q) and internal funds (measured by cash flow) in a setting that captures the unique country institutional characteristics of the Middle East and North Africa region. We report a higher sensitivity of investments to cash flow than Tobin's q. However, both sensitivities are unaffected by the country institutional characteristics. By examining the sensitivity of investments to cash flow and Tobin's q before and after the 2008 global financial crisis, we document that the investment-cash flow relation has weakened over time, while the investment-Tobin's q relation has significantly strengthened. Finally, after dividing our country sample into resource-rich and resource-poor countries, the importance of cash flow over Tobin's q in the determination of corporate investment levels is asserted and the role of financial markets is found to be restricted to resource-rich countries only.

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制度特征、投资对现金流的敏感性和托宾q:来自中东和北非地区的证据

我们考察了企业投资对股票市场估值(以托宾q衡量)和内部资金(以现金流量衡量)的敏感性，并捕捉了中东和北非地区独特的国家制度特征。我们报告了投资对现金流的敏感性高于托宾q。然而，这两种敏感性都不受国家制度特征的影响。通过考察2008年全球金融危机前后投资对现金流量和托宾q的敏感性，我们发现投资-现金流量关系随着时间的推移而减弱，而投资-托宾q关系则显著增强。最后，在将我国样本划分为资源丰富国家和资源贫乏国家后，断言现金流量大于托宾q在决定企业投资水平中的重要性，发现金融市场的作用仅限于资源丰富国家。

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

Accounts of Chemical Research 化学-化学综合

CiteScore

31.40

自引率

1.10%

发文量

312

审稿时长

2 months

期刊介绍： Accounts of Chemical Research presents short, concise and critical articles offering easy-to-read overviews of basic research and applications in all areas of chemistry and biochemistry. These short reviews focus on research from the author’s own laboratory and are designed to teach the reader about a research project. In addition, Accounts of Chemical Research publishes commentaries that give an informed opinion on a current research problem. Special Issues online are devoted to a single topic of unusual activity and significance. Accounts of Chemical Research replaces the traditional article abstract with an article "Conspectus." These entries synopsize the research affording the reader a closer look at the content and significance of an article. Through this provision of a more detailed description of the article contents, the Conspectus enhances the article's discoverability by search engines and the exposure for the research.