Bank competition and corporate tax avoidance: the Chinese experience
研究2009年中国银行准入放松管制如何影响非金融企业的避税行为，发现银行竞争增强后企业避税减少，这一效应源于银行信息预期和信贷可得性增加。
We examine the effect of bank competition on non-financial firms’ tax avoidance in the context of China, where a new national policy on bank entry deregulation in 2009 increased bank competition. The findings suggest that corporate tax avoidance decreases after bank entry deregulation. This deterrence effect partially stems from banks’ increased information expectations and the greater availability of credit. Moreover, the restraining effect is more salient for non-financial firms subject to less bank monitoring, weaker external or internal monitoring, greater financial constraints, less access to credit, and high levels of internationalization. Overall, our findings shed new light on how bank competition shapes firms’ tax avoidance strategies.