The Influence of Bank Ownership on Guidance in China

In China, as in many other places, you've got a little bit of a revolving door between the government and state-owned corporations. To do anything useful with this analytically, you have to be able to distinguish these two factions, ex ante. So we simply looked at the employment record of the CEOs. We then have to attribute the influence of bank ownership and the CEO's faction in how guidance is interpreted.