Existing research does not find significant momentum profits in many emerging markets including China. We propose an alternative momentum strategy which groups stocks into return intervals rather than percentiles. We apply the method to the China A-share market and find economically significant momentum profits in weekly returns, but not in monthly returns. The weekly momentum lasts for about 1 year. More than half of the profit is realized in the first 3 weeks. We apply the method to other Asian equity markets and find significant weekly momentum in Hong Kong, Taiwan, Korea, Thailand, and Indonesia. These findings suggest that momentum may exist in different formats in different markets. Existence of momentum in a closed equity market like China supports momentum is pervasive in short-term stock returns.

This paper created a framework for a dynamic institutional analysis . (1) Reduction of the conviction and motivation inside economic factors (We think that this is the inducing factors of system changes ), (2) system changes will be ultimately beneficial to the efficiently allocation of resources, (3) the typical economic factors .This is from the old institutional analysis framework , Mr. Frank. Knight's economic thought and historical materialism. Based on this analytical framework, we researched Transformation of China's state-owned enterprises, we come to conclusion that it is the time for the market forces play an basic role in the allocation of resources .

深化认识马克思的经济危机理论、全面准确认识危机成因，以从容应对经济危机。本文梳理分析经济危机的相关成因后认为：依据对危机生成的主次作用，可将危机成因概分为基本因素与其他因素；危机成因之间存在错综复杂的的交互影响；危机的生成是诸多因素共同作用的结果；在不同的社会条件下，众因素之间会产生不同的组合与作用，故历次危机的具体进程多有不同；危机的具体进程对危机成因亦有重要影响；由于危机的发生仍具必然性及其作用的双重性，大家的应对措施应更具综合性与远瞻性。 Abstract:reasons for the formation economic crisis,Can be divided into basic factors and other factors;(The basic factors：economic crisis the fundamental role in the cause or condition; Other factors: the economic crisis affects the process of causes or conditions.) The generation of the crisis required a lot of factors to produce a combination; In different periods of different social conditions, the factors can be generated between the different combinations,So the previous crisis the process and forms of expression are different; Psychological factors is difficult to walk alone,And the basic factors, other factors to form" "locked together" interaction, Affect the economic crisis of the whole process. " The monetary function evolution" and " distribution according to capital", as the economic crisis generation provides the most direct impetus; Because the crisis still has the inevitability and the dualism of the crisis, crisis-intervention policy should be more comprehensive and far-sighted.

As the information asymmetry and credit rationing are existing, SME are difficult to gain bank credit. Trade credit, as one of substitution, gives another access to SME finance. Based on three years panel data (from 2007 to 2009) of 196 small and medium listed companies, this paper establishes the empirical models and examines the effects between inter-corporate relationship and trade credit. It finds that: the effects between inter-corporate relationship and trade credit seems like "U"; participate in the business associations, especially provincial associations, has positive impact to gain trade credit; good reputation also has positive impact to gain trade credit, but vulnerable to the macroeconomic. The conclusions of this paper are as follows: one corporate should keep proper relations with other corporates; pay attention to participating in the business associations, especially the provincial associations; even the macroeconomic's impact are very important, the corporate should also pay more attention to the repletion assets' maintenance.

　　　计价货币（Invoice Currency）是国际货币(International Currency)在私人部门作为价值基础的重要职能，其在国际贸易中的结算比率也是判断某种货币国际化程度的重要指标之一。本文根据既有的计价货币选择理论，在对96家江苏省出口企业进行问卷调查的基础上，通过构建Probit个体二分变量计量模型，在价格政策制定这一微观层面上对企业以人民币计价出口的决定要因进行了详细的实证研究。实证分析表明：企业类型为跨国公司关联企业或出口加工型企业、企业出口产品为半成品的，与企业以人民币计价出口呈显著或较为显著的正相关关系；而企业出口地为美国或欧元区国家以及其他发达国家的，则与之呈较为显著的负相关关系。这一结果表明：从促进人民币国际化的角度来看，有必要进一步开放人民币的资本项目的管制，方便跨国公司一类企业进行一定的人民币理财活动，促使其使用人民币计价结算。此外，在货币之间的国际化及国际货币化是否存在有排他性竞争关系明确之前，有必要对其他国家货币的国际化或国际货币化保持警惕。 Invoice Currency is one of the important functions of international currency as a value basis in the private sector。The ratio of one currency as a settlement currency in international trade is also an important index of its degree of internationalization. According to the existing theories of the invoicing currency choice，and on the basis of a questionnaire survey of 96 export enterprises in Jiangsu Province, this paper builds a bivariate probit model with sample selection. From the perspective of price policy making, this article carries out a detailed empirical study on the determinants of the enterprises in RMB-denominated export. The empirical analysis shows that some enterprises have significant positive correlation with RMB-denominated export while others have negative correlation. The formers are enterprises with types of multinational affiliates or export processing enterprises, and with exporting products of the semi-finished products; while the latters are enterprises exporting to the United States, the euro-zone countries or other developed countries. This result suggests that when considering promoting the internationalization of the RMB, the capital control in China should be further released. Therefore, if multinational enterprises could carry out RMB financing, they would promote the use of RMB in trade invoicing and as a settlement currency. In addition, it's not clear whether an exclusive competition exists between the currencies that are in their paths of internationalization and becoming an international currencies. So, it's necessary to remain vigilant on other countries' currency internationalization or the internationalization of the currency.

随着跨境贸易人民币结算试点工作扩大至全国范围，学术界对“人民币国际化”问题的讨论也日趋热烈。但值得注意的是，众多的意见和观点并未对货币的“国际化”与“国际货币化”这两个不同的概念加以区别。本文通过对国际货币所应具有的六项职能的分析，指出了货币的“国际化”与“国际货币化”这两者的差异，并且通过对日本政府的所谓“日元国际化”相关一系列文件以及日元朝向国际货币发展历程的回顾和分析，指出目前日元国际货币化的挫折，很大程度上是日本政府长期模糊“货币国际化”与“国际货币化”这两者概念、消极应对日元发展成为国际货币的结果。最后，本文根据中日两国当前金融及货币、资本市场政策的比较，指出人民币今后将长期处于提高其国际影响力——即“国际化”的阶段，并据此提出了人民币“国际化”和“国际货币化”这两个不同进程的目标设想。 with the development of the strategy of “Going Global” with Renminbi, the relative research in academe is becoming more and more. However, in many views and papers, the concepts of “currency internationalization” and “becoming an international currency” are not distinguished from each other. This paper indicates the difference between them by an analysis on 6 functions of the “international currency”. Then, by the reviews of Japanese government’s documents about so-called “internationalization of Japanese Yen” and the Japanese Yen’s process of becoming an international currency, this article argues that the present frustration that Japanese Yen becomes an international currency is the consequence of the former Japanese government’s long-term resistances by casting a mist on it’s definitions of “currency internationalization” and “becoming an international currency”. Finally, based on a comparison of China’s financial, monetary and capital market’s policies with Japan’s , this paper indicates that Renminbi will be in a long-term stage of “currency internationalization”, namely, in the stage of increasing international influence, and concisely brings forward a line of internationalization and becoming an international currency for Renminbi.

The conflict of interest between controlling and minority shareholders is an important issue in firms with concentrated ownership. We document that expropriation behavior by controlling shareholders through tunneling or self-dealing is far more severe in politically connected firms than in nonpolitically connected firms. This severity results more from the formers’ lower concern with capital market punishment than from the possibility that such firms tend to establish political connections for protection. Consistent with the view that a firm’s financing condition influences its corporate governance, we show that such severe expropriation occurs only in firms whose political connection helps them secure bank loan access.

We examine how regulators tackle two types of widespread tunneling activities in China. Controlling shareholders and related parties can divert assets from listed firms or coerce firms to serve as guarantors on questionable loans. The government announced and enacted two new rules during the same period: the first rule prohibits asset diversion from listed firms for ‘non-operational’ purposes by large shareholders, while the second standardizes the practice of listed firms providing loan guarantees. Relative to firms not affected by either rule, firms complying with the first rule experience a reduction in the ownership stakes of controlling shareholders, an increase in investment, and significantly better performance. The second rule has no impact on firms. Our results highlight the importance of enforceability: laws and regulations that can be enforced at lower costs are much more likely to succeed, especially in countries with weak institutions.

This paper examines the value of political participation by private entrepreneurs in China. Using a unique sample of all initial public offerings by entrepreneurial firms during 1994-2007 and political participation by the controlling entrepreneurs, we test the hypothesis that firms with entrepreneurs who participate in politics are able to exploit rent-seeking opportunities that normal firms do not have access to. We document that the long-run stock performance after the IPO of firms controlled by entrepreneurs who participate in politics is superior to that of common entrepreneurial firms. Our results also show that political participation has a significant positive effect on change in operating performance and a negative effect on first-day returns. Moreover, we find that economic development and local institutions are important for this value effect. The difference in performance is even larger in regions characterized by more abundant rent-seeking opportunities, indicating that the value effect of political participation likely originates from rent seeking. This finding is consistent with the hypothesis that political participation facilitates entrepreneurs’ rent seeking.

China’s listed companies often exchange corporate assets with their unlisted affiliates such as parent companies, which is rarely observed in their American counterparts. We find that listed companies which are incompletely restructured from former state-owned enterprises tend to exchange more profitable assets for less profitable assets (i.e., tunneling). However, when there is a need to avoid reporting losses and to raise additional capital, listed companies tend to exchange less profitable assets for more profitable assets (i.e., propping). We also find that the market reacts indifferently to assets exchange announcement. Finally, we find that assets exchange with tunneling (propping) incentive is associated with detrimental (improved) post-exchange stock performance and financial performance. In summary, this study contributes to the corporate assets literature by providing two new incentives (tunneling and propping).