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The existence of structural change features can lead to the failure of traditional econometric methods. This research uses the Bai-Perron test to diagnose the structural change point of the price series in China's pilot carbon market. It uses an impulse response function to analyze the interaction between carbon prices and energy prices, stock price indices, power industry index, and similar asset prices. The results show structural change points in all five carbon markets during the operation period, and the timing of these structural change points relates to an economic situation and compliance period. In addition, the impact mechanisms of the stock price index, similar asset price, and power industry index on the price of China's pilot carbon market change significantly before and after the structural change points, but the impact of energy price does not change except for the Hubei carbon market. [ABSTRACT FROM AUTHOR]

Digital technology has a significant impact on most industries in the 21st century. The publishing industry is also facing digital transformation, and the traditional paper business is considered polluted and wasteful as it generates carbon emissions. To compare the influence of digital paperless business with the traditional one on environmental performance in publishing, this paper adopts a refined weak disposability model initially introduced by Kuosmanen (2005). The main novelty of the paper is to include two types of desirable outputs in production technology: one is linked to generating undesirable outputs while another is not. Two additional economic assumptions can be imposed on environmental production technology, namely, weak disposability and null-jointness, respectively. We apply the refined model to assess the economic and environmental performance of the publishing industry in China. The paper business generates carbon emissions while the digital outputs (paperless business) may not produce pollution. The empirical results indicate that a vast potential improvement is detected for the digital outputs while limited progress is allowed for traditional outputs. Furthermore, we use the entropy method to obtain a comprehensive digital technology indicator and further explore its influence on performance in the publishing industry. [ABSTRACT FROM AUTHOR]

This paper studies the issuing pricing character of green bonds with the evidence from China and further analyzes the reason why green factor affects bond issuing pricing by analyzing credit rating's intermediary effect and exploring the mediating of policy incentives and third-party green certification. Furthermore, heterogeneity analysis is conducted to analyze how green factor impacts on bond issuing pricing at different quantiles and for companies in different industries or with different ownership. The findings include: (1) Green factor generally reduces the issuance interest rate of green bonds, though this effect is not significant at the low quantiles or at the early development stage. (2) Green factor's impact on bond issuing pricing occurs partly by improving bond credit rating, fully by this way for companies in the construction industry, but directly for companies in other industries. (3) For non-state-owned companies, green factor has direct effect on bond issuing pricing, but this effect is not significant for state-owned companies. (4) Third-party green certification and incentive policies enhance the reducing effect of green factor on the issuance interest rate. This study provides a theoretical reference for environment-friendly investors, financiers with green projects and the regulators caring about green finance. [ABSTRACT FROM AUTHOR]

The article discusses the Chinese Economists Society North America Annual Conference held at University of Alabama in Tuscaloosa, Alabama on March 10 to 11, 2017. The keynote speakers including professors Yang Yao, Kevin Huang, and Yiping Huang are mentioned. It presents an introduction in which the editor discusses articles in the issue on topics including economic stimulus, business profitability, and business cycles.

The strand research of regional branching identifies relatedness as a key driver of new specializations in a region. The purpose of the present paper is to extend the regional branching framework by investigating how a regional knowledge base of information and communication technologies (ICTs) and others (non-ICTs) influences the specialization of financial technology (FinTech) in China at the city level. Accordingly, the empirical analysis focuses on the relationship between relatedness and FinTech diversification using panel data spanning the period 2008–2021 covering 247 China's cities. We obtain that the role of ICTs relatedness is positively relevant in explaining the emergence and development of new FinTech domains. However, non-ICT relatedness is a negative factor in the process of FinTech diversification, which we attribute to the fact that FinTech is less reliant on other knowledge base except ICT sectors. Additionally, the effects of ICTs relatedness are higher in peripheral cities compared to core cities in promoting FinTech diversification. [ABSTRACT FROM AUTHOR]

This paper empirically tests the incentive effect of fiscal policy on corporate innovation from 2007 to 2019 in China. With data from A-share-listed companies in the China Stock Market & Accounting Research (CSMAR) and Wind databases and GDP data from the National Bureau of Statistics of China (NBSC), the paper uses the Hodrick – Prescott (HP) filter method and a panel fixed effects model to empirically test the incentive effect of fiscal and tax policies on corporate innovation, compares the incentive differences between tax incentives and fiscal subsidies across different business cycles, and conducts heterogeneity analysis. The study finds that although fiscal subsidies and tax incentives promote enterprise innovation, the innovation incentive effect of fiscal subsidies is greater during an economic downturn than during an upturn. In contrast, tax incentives are stronger during an economic upturn than during a downturn. The results of this research may help to develop economic policies and to guide the precise implementation of tax and fee reductions. [ABSTRACT FROM AUTHOR]

In this paper, we reexamine the literature on money demand in China published both in English and Chinese language. Over the past 30 years, there has been a regular stream of papers assessing the Chinese money demand function. The literature mostly focuses on income elasticity, stability, and, especially important for China, the adequate choice and quality of data. In particular, regarding the stability of money demand, we find a substantial publication bias towards rejecting stability. When controlling for publication bias and focusing on longer time periods, our paper strongly suggests a stable long-run money demand in China. [ABSTRACT FROM AUTHOR]

Does CSR reflect the "self-interest tool" of management or the "value tool" of shareholders? This paper seeks to examine the impact of CSR on corporate cash holdings in China's stock markets. This paper presents evidence that CSR significantly increases corporate cash holdings, and our findings remain consistent after a series of robustness tests. Mechanism analysis shows that CSR mainly affects cash holding by optimizing corporate governance, which is reflected in that CSR improves the efficiency of investment and increases dividend and R&D investment. Furthermore, CSR has a spillover effect and value enhancement effect that can improve cash holdings at the industry level and also enhance corporate market value. [ABSTRACT FROM AUTHOR]

There are information transfer motives and earnings management motives for the disclosure of R&D expense information. These two motives contradict each other, which can cause distortion of corporate R&D expense information and lead to mispricing of R&D information. In this paper, we investigate the market reaction to R&D expense inquiry letters (hereafter, RDILs) and their impact mechanism from the perspective of correcting R&D information mispricing by using Chinese A-share listed companies from 2015 to 2019. We find that RDILs have a significantly negative market reaction, suggesting that they have additional information content. Mechanism analyses indicate that this information content is affected by the inquiry letter characteristics and the R&D characteristics of the inquired firm. The findings of this paper have implications for how developing countries can use capital markets to stimulate corporate innovation, and for the establishment of proactive inquiry mechanisms to address the mispricing of innovation information. Exchanges in other countries should consider their use. [ABSTRACT FROM AUTHOR]

This paper merges three textual models to construct a series of indicators, which can yield more refined proxies for financial media coverage, to measure the impacts of COVID-19 on Chinese financial markets. Results show that the basic indicator Granger causes the volatilities of bond and stock markets and contributes more to the stock market after the outbreak of COVID-19. Next, four specific market-related indicators have significant effects on the corresponding financial market after the outbreak. Finally, the policy-related indicator has a significant effect on four financial markets after the outbreak, and it causes greater volatility in the stock market. This paper can help the government to stabilize the financial market by managing financial media attention. [ABSTRACT FROM AUTHOR]

Taking 269 prefecture-level cities in China from 2004 to 2017 as the sample dataset, this research employs spatial analysis techniques to investigate the roles of local government competition and land finance on haze pollution. The paper concludes that a significant spatial spillover and time lag are associated with haze pollution. Local government competition and land finance positively relate to haze pollution in the local area, but also produce the same effect on neighboring areas. Local government competition positively moderates the contribution of land finance to haze pollution both locally and in neighboring areas. Moreover, the role of local government competition on haze pollution is significantly negative in the east region, while significantly positive in the central-west region. The impact of land finance on haze pollution in the east region is negative but insignificant, while significantly positive in the central-west region. Local government competition positively and negatively moderates the role of land finance in the east region on haze pollution, while in the central-west region the role is significantly positive. This study provides new research ideas and empirical reference evidence for alleviating haze pollution, which is valuable for accelerating the improvement of China's environmental quality. [ABSTRACT FROM AUTHOR]

China's higher education expansion increases firms' human capital input in terms of the number of educated employees, while its quality undergoes questioning. It is unknown what employees with higher education bring to the firm in China. Considering that investment decision is one of the most important drivers of firm value, we examine how employees with higher education affect firms' investment efficiency in this paper. We document that the number of employees with higher education increases by 89% from 2008 to 2021. We further find that more employees with higher education are associated with higher investment efficiency through mitigating over- and underinvestment. This association is stronger for firms with high product market competition, low customer concentration, state-owned enterprises, and high senior manager education. Collectively, the results suggest that the information inputs channel, monitoring channel and up-and-down communications channel are likely underlying mechanisms through which higher educated employees affect firms' investment decisions. Overall, our paper sheds light on the real effect of higher educated employees on firms' investment efficiency. [ABSTRACT FROM AUTHOR]

This paper explores the spillover effect of proactive preventive regulation represented by R&D expense inquiry letters (hereafter, RDILs) and its impact mechanism. Using deterrence theory and Chinese A-share listed firms from 2015–2020, we find that the industry receiving RDILs has a regulation effect on the R&D investment intensity catering motive of the non-receiving firms in the industry. That is, there is an industry spillover effect of RDILs regulation. The results of the regulatory mechanism analysis show that the industry spillover effect of RDILs regulation is more pronounced for non-receiving firms with more severe R&D manipulation intensity or weaker product market competitive positions. Further analysis shows that the inclusion of peer comparison questions in the RDILs increases the industry spillover effect of the inquiry letter regulation. We also find that the industry spillover effects of RDILs regulation result in higher future innovation quality for non-receiving firms. Overall, our study enriches our understanding of the effectiveness of inquiry letter regulation and provides some guidance for regulators' regulatory practice. [ABSTRACT FROM AUTHOR]

Based on the in-depth analysis of the characteristics of anti-dumping investigations against China from the industry and country concentration degree, this paper finds that NES countries were still the main initiators of anti-dumping investigations, and the industrial sector was the concentrated area. On this basis, this paper adopts the comprehensive feasible generalized least squares method and negative binomial regression to empirically examine factors in anti-dumping investigations against China. The results show that market economic status is not the most critical factor in anti-dumping investigations against China, and the domestic economic situation of importers has a stronger impact. [ABSTRACT FROM AUTHOR]

This paper uses the bibliometric method of knowledge mapping analysis to clearly present the knowledge base and research fronts of cross-market volatility spillovers. The results provide strong evidence that, first, the general theme of volatility spillovers can be divided into a variety of research topics, four of which are on the dynamics of volatility spillovers in world financial markets of various types based on multivariate GARCH or VAR models and construct a crucial knowledge base for this field; second, three research fronts can be identified using burst analysis, and they focus on examining spillover directions and magnitudes, testing volatility spillovers related to oil markets and international risk transmission mechanism of emerging markets; and, third, the major contributing scholars come from institutions in the United States,China and European economies. Our conclusions offer some recommendations for market practitioners in their risk management and policy-making. [ABSTRACT FROM AUTHOR]

Implicit government guarantee results in financing convenience and distorting corporate investment. The effects on MCB's credit spread and corporate investment are studied in this paper based on China's bond market from 2010 to 2020. The implicit government guarantee lies in MCBs whose financing costs are significantly lower than those of POEs. The inefficiency of corporate investment also exists in MCBs with investment reductions. But this inefficiency has been corrected by China's recent major national strategy, the Belt and Road Initiative. We provide direct evidence from three perspectives, provinces along BRI routes, city-level features of China-Europe Railway Express and bond-level funding purposes. This paper reveals that implicit government guarantee could only reduce the funding cost, while major national strategy is helpful to promote corporate investment. [ABSTRACT FROM AUTHOR]

This paper examined the impact of "Business Tax to Value-added Tax" on enterprises' innovation output, substantive innovation and the related mechanism. We use a natural experiment involving China's business tax changing to value-added tax ("BT to VAT") and a mediating effect mechanism to identify any causality. The results reveal that "BT to VAT" reform has prompted enterprises to increase their innovation output and substantive innovation, and the level of R&D investment plays an intermediary role in the relationship between "BT to VAT" and the entire innovation output and the relationship between "BT to VAT" and the substantive innovation output of enterprises. Further analysis demonstrates that firms with different ownership types, in different industries and with different degrees of marketization respond differently to the "BT to VAT" policy. Our findings are only significant for non-state-owned enterprises, high-tech enterprises and enterprises in high-marketization degree area. This paper provides a theoretical and empirical basis for detailed analyses of the effects of "BT to VAT" policy, particularly the government's subsequent improvement to the tax reform policy, to further stimulate enterprise investments in innovation as well as industrial upgrading. [ABSTRACT FROM AUTHOR]

This paper examines how COVID-19 affects firm research and development (R&D) using the data of Chinese-listed companies from 2018 to 2020. Our results show that COVID-19 significantly inhibits firm R&D input. However, such significant evidence mainly exists on firms classified as private enterprises, with smaller size, or belonging to high-technology industries. Moreover, we find evidence that the epidemic reduces firm revenue but, in the meantime, increases the financing constraint, leading to less R&D investment. The conclusion of this study provides a theoretical basis and practical reference for enterprises to make better decisions on innovative activities. [ABSTRACT FROM AUTHOR]

The participation of private organizations in the construction of affordable housing is important to ensure a sustainable housing development. This paper uses structural equation modeling (SEM) to investigate the main determinants of private organizations' participation in affordable housing in Hangzhou, China. Our results show that both internal factors (such as value identity, sense of responsibility, profit-seeking tendency, herd mentality, size of organization and knowledge, and experience) and external factors (such as legal system, project profit, policy incentive, financial support, and supporting facilities) significantly impact the participation of private organizations in the construction of affordable housing. Policy implications of these findings are discussed. [ABSTRACT FROM AUTHOR]

The implementation of innovation-driven and regional collaborative development strategies of China has injected new vitality into corporate trans-regional operation and collaborative innovation. Accordingly, listed companies expand the distance between parent and subsidiary in space geographically. This paper discusses the effect of geographic distance between parent and subsidiary companies on corporate innovation. The results show that parent – subsidiary company geographic distance has a significant positive effect on corporate innovation performance. The results still hold following a battery of endogeneity test and robustness check. We also find that government subsidies, information acquisition, and construction of internal capital markets are the mechanisms for the effect to work. In addition, the stimulative effect of parent – subsidiary geographic distance on corporate innovation performance is more pronounced for SOEs, under better intellectual property protection, and for eastern and central China. This paper not only refines the research on corporate innovation at the spatial level for parent and subsidiary companies, but also provides a framework for corporations to implement regional collaborative development and to adhere to a belief in innovation. It can also assist the government in creating a unified national market. [ABSTRACT FROM AUTHOR]