IInvestigating the effect of corporate governance on the relationship between investment and economic policy uncertainty

Document Type : Original Article

Authors

1 Motaher Audit Institute, Tehran, Iran

2 Islamic financial management

3 accounting department , Taban Institute. of

Abstract

Purpose: The purpose of this article is to investigate the impact of the role of corporate governance on the relationship between investment and economic policy uncertainty in companies listed on the Tehran Stock Exchange.
Methodology: Multivariate regression model has been used to test research hypotheses. After applying some limitations in this research, the statistical population of this research includes 92 companies admitted to Tehran Stock Exchange during the period of 1395 to 1400.
Findings: The research findings indicate that organizations with strong corporate governance are less sensitive to economic policy uncertainty , and on the other hand, corporate governance has a negative moderating effect on the relationship between investment and economic policy uncertainty . in companies admitted to the Tehran Stock Exchange.
Increasing Knowledge: Research findings suggest that opportunistic management behavior weakens the effect of EPU on investment, which may again be exacerbated by stricter governance rules that prevent tunneling.