The empirical study of relationship between debt financing and corporate governance efficiency based on the transportation listed companies

Transportation is the pillar and guarantee for economic growth. Transportation is a capital-intensive industry, in which the proportion of debt financing, as one means of financing, is higher than that in other sectors. We use the panel data of transportation listed firms from 2006–2009 to study the relationship between debt financing and corporate governance efficiency. Then we found that the proportion of debt financing is negatively related to corporate governance efficiency in those companies. Therefore, in the paper, we suggest the transportation listed companies improve the debt financing structure to enhance the company's performance.