An Empirical Study of the price information content

The relationship between price changes and earnings changes in a very long period of time , since the focus of attention are empirical accounting Institute . Affected by the financial crisis , the global stock market remains in the doldrums , the stock and surplus problem is becoming increasingly important in this context . However , from the literature available , most are concentrated on the study of the information content in surplus , paid little attention to the problem of the information content of the price . Compared with foreign research , our research on the relationship between stock prices and earnings level is a lot of difference , and the level of its research is still stuck in the 1970s , the level of the foreign . At this stage, all literature is still focused its attention on the information content of the surplus . Therefore , a correct understanding of price information content as well as the share price and earnings complex interaction relationship of great significance to our current empirical research . First, the content on the share price at home and abroad were reviewed , including basic concepts of information content and price information content , and content of the basic theory of domestic and foreign price information are summarized as well as domestic research on the information content of the stock price trend forecasting . Selection of the Shanghai stock market manufacturing listed companies on the basis of theoretical research , data , through the establishment of the regression equation model to verify whether a stock is the information content exists , the next sample panel data unit root test , cointegration test to analyze the share price movement and the interaction between the surplus between changes . Which can provide some ideas and methods of decision-making for the investors .