Controlling Shareholders’ Equity Pledge and Listed Companies’ Stock Repurchase

Table 1

Variable description.

Variable	Definition	Symbol	Description
Explained variable	Dummy variable of stock repurchase	Rpurchase1	If the company implements the stock repurchase in the year, Rpurchase1 is 1; otherwise, it is 0
	Stock repurchase scale	Rpurchase2	Annual stock repurchase amount/market value of listed companies ^∗100%
Core explanatory variable	Dummy variable of controlling shareholders equity pledge	Pledge1	If the company has equity pledge at the end of the accounting year, it is 1; otherwise, it is 0
	Year-end pledge ratio of controlling shareholders	Pledge2	Year-end number of stocks pledged by controlling shareholders of listed companies/the number of stocks held by controlling shareholders
Control variable	Company size	Size	Year-end total assets; take the natural logarithm
	Financial leverage	Lev	Total liabilities/total assets
	Return on equity	Roe	Net profit/equity
	Growth	Growth	Growth rate of business revenue compared with the previous period
	Cash ratio	Cash	Cash/total assets
	Board independence	Board	Number of independent directors/board size
	1 person serving 2 positions	Dual	If the chairman and general manager hold concurrent positions, the value is 1; otherwise, it is 0
	Nature of equity	Soe	If the listed company is a state-owned enterprise, the value is 1; otherwise, it is 0