Faced with intensified environmental degradation and decreased agricultural land productivity, the Chinese government has sought policy interventions to reverse both of these negative trends. Among the policy instruments is the Conversion of Cropland to Forest and Grassland Program (CCFGP) that...

We examine the effect of the bond capital supply uncertainty of institutional investors (e.g., mutual bond funds and insurance companies) on the leverage of the firm using a novel dataset. Our main finding is that the supply uncertainty of the firm's bond investor base — measured as (i) the...