Search

From the perspective of annual report text information, we study the relationship between the annual report text's positive tone and corporate green innovation. Taking listed companies from 2010 to 2022 as a sample, we found that the positive tone of the annual report text significantly improves the company's green innovation while improving the quantity and quality of green innovation. The mechanism test shows that the main channels are easing corporate financing constraints and enhancing external attention. Regarding heterogeneity analysis, we found that the positive annual report text has a more significant effect on corporate green innovation in companies with high economic policy uncertainty and non-heavily polluting industries. Finally, we found that the positive tone of the annual report text can ultimately improve the company's long-term value through green innovation. Our study has enriched the theoretical research on the annual report text tone and provided empirical evidence for promoting enterprise green innovation. [ABSTRACT FROM AUTHOR]

The existing research on the impact of digital inclusive finance on corporate behaviour is relatively extensive, but the research on the impact of digital inclusive finance on corporate value is ignored. To fill in this gap, this study examines the impact of digital inclusive finance on firm value from the perspective of financing constraints, utilizing data on A-share listed companies in China from 2012 to 2019. We found that digital inclusive finance helps increase corporate value. And digital inclusive finance uses digital technology to alleviate financing constraints and improve the credit supply, which in turn increases firm value. Moreover, the impact of digital inclusive finance on firm value demonstrates heterogeneity. Compared with other firms, digital inclusive finance has a greater value-enhancing effect on small-scale and private firms. Our findings suggest that increasing the level of digital inclusive finance in developing countries can help enhance firm value. [ABSTRACT FROM AUTHOR]

In this study, we examine the green innovation effect of investor preference on Chinese listed companies from 2008 to 2020. We observe that investors with environmental protection preferences can significantly increase enterprise green innovation. The baseline conclusions remain robust after we conduct multiple sensitivity tests, such as establishing a shift-share instrumental variable (Bartik IV), using the Heckman's two-step method, changing the regression methods, substituting the core variables, adopting the DID method, and considering investors' ownership. Our analysis shows that the green innovation effect of environmental investors is highly pronounced in companies with a high level of indebtedness and low managerial ability. We verify that environmental investors can improve the green innovation level of enterprises through two potential mechanisms, namely, easing corporate financing constraints and incentivising managers. In addition, political and public attention can strengthen the positive relationship between environmental investors and green innovation. [ABSTRACT FROM AUTHOR]

In this paper, the STIRPAT model was developed to study the role of financial development in urban low-carbon economic transformation. The statistical analysis used data from 281 prefecture-level cities in China from 2009 to 2019. The results show that: (1) there is a positive U-shaped nonlinear relationship between financial development and urban low-carbon economic transformation. (2) Financial development not only directly affects the transformation of the low-carbon economy, but also indirectly affects it through three transmission channels: environmental regulation, industrial structure, and urbanization. (3) The financial development itself and the level of urbanization have a threshold effect on the transformation of the low-carbon economy. Under the threshold effect of environmental regulation and industrial structure, the role of financial development in the transformation of low-carbon economies presents a process of 'first decrease and then increase'. Therefore, improving the intensity of environmental regulation, implementing differentiated financial and industrial development policies, and controlling the urbanization process are effective measures to promote the transformation of low-carbon economies. [ABSTRACT FROM AUTHOR]

Against the backdrop of sustainable development, enterprises, the general public, and regulatory bodies are exhibiting an escalating level of concern regarding the performance in environmental stewardship, social responsibility, and corporate governance collectively referred to as ESG (Environmental, Social Responsibility, and Corporate Governance). This research, from the vantage point of external fiscal policy, investigates the examination of the impact of tax incentives on corporate ESG performance. Drawing upon panel data spanning from 2010 to 2021 at the level of China's A‐share listed companies and grounded in the context of accelerated depreciation policy for fixed assets, this study commitment to both identify and empirically test the presence of a significant positive correlation between tax incentives and corporate ESG performance. Our analysis of the financial mechanism and the Research and Development (R&D) mechanism reveals that tax incentives are instrumental in alleviating the financing constraints faced by corporations, thereby augmenting their financial performance. Furthermore, they serve to intensify R&D efforts, thereby fostering the generation of green innovations. In conclusion, our findings underscore that tax incentive policies significantly enhance the ESG performance of enterprises with common institutional shareholdings, an effect attributed to the presence of governance and synergy effects. [ABSTRACT FROM AUTHOR]

Developing green finance is an important measure for China to achieve a win-win situation between economy and ecology. This study adopts the implementation of Green Credit Guidelines (GCG) in China in 2012 as an intervening event and empirically examines its relative impact on corporate financing and investment using Difference-in-Difference and Difference-in-Difference-in-Difference models. Employing the financial data of A-share listed enterprises from 2009 to 2015, we find that the implementation of GCG restrains the financing and investment behavior of heavily polluting enterprises. The effects of GCG are influenced by institutional factors, and GCG has a more inhibitory effect in the higher polluting, state-owned, and eastern region registered enterprises. This result reveals the importance of GCG in adjusting financial leverage and promoting environmental protection. Policy implications, such as governments should improve incentive and punishment mechanism for heavily polluting enterprises and financial institutions should innovate in green credit business, are proposed. [ABSTRACT FROM AUTHOR]

Domestic and international risk shocks have greatly increased the demand for systemic risk management in China. This paper estimates China's multi-layer financial network based on multiple financial relationships among banks, assets, and firms, using China's banking system data in 2021. An improved PageRank algorithm is proposed to identify systemically important banks and other economic sectors, and a stress test is conducted. This study finds that China's multi-layer financial network is sparse, and the distribution of transactions across financial markets is uneven. Regulatory authorities should support economic recovery and adjust the money supply, while banks should differentiate competition and manage risks better. Based on the PageRank index, this paper assesses the systemic importance of large commercial banks from the perspective of network structure, emphasizing the role of banks' transaction behavior and market participation. Different industries and asset classes are also assessed, suggesting that increased attention should be paid to industry risks and regulatory oversight of bank investments. Finally, stress tests confirm that the improved PageRank algorithm is applicable within the multi-layer financial network, reinforcing the need for prudential supervision of the banking system and revealing that the degree of transaction concentration will affect the systemic importance of financial institutions. [ABSTRACT FROM AUTHOR]

This research investigates how supply chain finance (SCF) affects the investment efficiency of new energy firms by adopting a sample of Chinese listed new energy enterprises from 2011 to 2019. With the help of data envelopment analysis (DEA) combined with the Banker-Charnes-Cooper (BCC) model, we calculate efficiency values and analyze the regression results of the Tobit model, and find that SCF significantly boosts the investment efficiency of new energy corporations by improving their cash-holding position. The results of mechanism analysis also suggest that both supply chain concentration and digital finance positively magnify the relation between SCF and corporate efficiency. After comparing the impact in the new energy firms with different characteristics, we conclude that the SCF effect in promoting corporate investment efficiency is more prominent for non-stateowned new energy enterprises located in the western region that have low equity concentration. The conclusions of this paper shed new light on the fusion of the SCF business into building a new energy industry cluster. [ABSTRACT FROM AUTHOR]

This article thoroughly examines the influence of digital transformation on the efficiency of corporate supply chains. As global economic integration accelerates and technological innovations deepen, digital transformation has become key to enhancing core corporate competitiveness. This research, utilizing data from A-share listed companies in China between 2007 and 2022, analyzes how companies improve supply chain efficiency through digital transformation. Furthermore, the study establishes a theoretical framework that demonstrates how digital transformation facilitates supply chain efficiency from the perspectives of internal governance and external competition. The research indicates that digital transformation plays a key role in significantly enhancing supply chain efficiency. Furthermore, the results of the mechanism analysis confirmed that digital transformation contributes to enhancing corporate supply chain efficiency by improving the level of corporate governance and the degree of market competition. The study also finds that the effect of digital transformation on supply chain efficiency varies with different corporate backgrounds, indicating its heterogeneous impact. Lastly, an analysis of economic consequences shows that the increased supply chain efficiency resulting from digital transformation can reduce future external transaction costs, strengthening the company's market position and financial performance. This research provides strategic guidance for firms to develop robust strategies amid the digital wave and offers strong policy recommendations for promoting digital supply chain management and enhancing market adaptability. [ABSTRACT FROM AUTHOR]

This article empirically examines how political connections (PCs) affect a firm's media reaction after corporate fraud. Using data for Chinese listed companies from 2008 to 2021, we find that the media reports more positively for firms with PCs than for others that do not possess such advantages after the enforcement against fraud. The results are robust to a series of robustness checks and endogeneity corrections. When decomposing media reports, we find that PCs only facilitate positive media coverage but do not impede negative media coverage, which is more pronounced in state‐controlled media. This suggests that PCs protect firms' branding by facilitating positive media reports rather than withholding bad news. Moreover, we find this protective effect is more pronounced in firms with stronger PCs, weaker anti‐corruption regulation, lighter punishment for fraud, private ownership, and more donations. Further, the consequences analysis shows that this kind of protective effect significantly increases the probability of future fraud and stock price crashes. Our findings present a new perspective on the role of PCs and provide evidence for political bias in media coverage. [ABSTRACT FROM AUTHOR]

Industrial technological progress, as an essential industrial-technological and institutional phenomenon, brings with it the possibility of high profits for firms but also implies new norms and rules of competition, which affect the willingness and propensity of firms to bear the costs of undertaking venture capital projects. This study empirically investigates the causal impact of industrial-technological progress on corporate risk-taking and the mechanism of digital financial growth on the relationship between the two, based on data from China's A-share listed businesses from 2011 to 2020. This paper finds that (1) industrial technological progress improves enterprise risk-taking levels. Moreover, digital financial development has an incentive effect on industrial technological progress and enterprise risk-taking levels. (2) Industrial technological progress under digital financial development generates financing constraint relaxation effects, input capital return enhancement effects, and innovation performance incentive effects, increasing enterprise risk-taking. (3) The positive moderating effect of digital financial development on the relationship between industrial technological progress and the risk-taking level of enterprises in the eastern regions and enterprises in the high-tech industry is more prominent. The study's findings provide a theoretical foundation and policy insights on the crucial elements of industrial-technological progress and enterprises' increased ability to take risks throughout the development of digital finance. [ABSTRACT FROM AUTHOR]

Using Chinese A-share listed companies from 2011 to 2020 as a research sample, this paper examines the relationship between negative media coverage and corporate ESG performance using a two-way fixed-effects model. It is found that, first, negative media coverage can effectively promote corporate ESG performance. Second, the mediation mechanism study shows that negative media coverage positively promotes corporate ESG performance by increasing the degree of corporate financing constraints and information asymmetry and prompting corporations to change their ESG governance level. Third, the results of the heterogeneity test find that the positive relationship between negative media coverage and corporate ESG performance is more pronounced among firms without executives with overseas backgrounds, and the positive relationship between the two is more significant after the promulgation of China's Code of Governance for Listed Companies in 2018. Fourth, further discussion revealed that negative media coverage has the strongest promotion effect on the performance of corporate environmental governance, followed by social governance performance, and lastly, corporate governance performance. The research in this paper contributes to an in-depth understanding of the impact of negative media coverage on corporate ESG performance and provides empirical evidence to facilitate policy formulation related to the role of media monitoring and to fully utilize the media's role in corporate ESG governance. [ABSTRACT FROM AUTHOR]

The establishment of green finance reform and innovation (GFRI) pilot zone is an important measure of the Chinese government to urge enterprises to develop green transformation. This paper explores the impact of pilot policies in the GFRI pilot zone on corporate environmental investment. Based on 819 A-share listed enterprises from 2010 to 2020, our staggered difference-in-differences (staggered DID) estimation documents revealed that enterprises in the GFRI pilot zone significantly increased the corporate environmental investment efficiency but reduced the scale of corporate environmental investment.This conclusion remained robust after Propensity Scores Matching difference-in-differences (PSM-DID), replacing dependent variables, and shortening the time window. We contend that the increased research and development (R&D) expenditure and technological innovation are the potential mechanisms at work. Heterogeneity analysis showed that the establishment of GFRI improved the environmental investment efficiency of polluting enterprises but had no effect on green enterprises.Meanwhile, the effect of GFRI exhibited heterogeneity in the type of enterprise ownership. This paper evaluates the implementation effect of GFRI from the perspective of corporate environmental investment, and provides theoretical support and an empirical basis for green finance policy to serve China's green economy. [ABSTRACT FROM AUTHOR]

In this paper, we investigate the impact of digital finance on corporate innovation based on Chinese A-share listed companies from 2011 to 2017. We find that digital finance has a significant promotion effect on corporate innovation. The development of digital finance promotes enterprise innovation, increasing the number of patent applications and authorizations. The development of digital finance mainly promotes corporate innovation through two channels. First, digital finance improves bank competition and credit availability to promote corporate innovation; second, digital finance reduces financing constraints and financing costs of enterprises to promote corporate innovation. We also conduct a rich set of robustness tests and obtain consistent conclusions. [ABSTRACT FROM AUTHOR]

With China's economic rise and influence, financial statecraft has increasingly been deployed to serve the country's national interest. The growth of China's financial statecraft in the region has drawn greater media and academic attention. Notwithstanding the abundant literature on China's financial statecraft in Southeast Asia, the previous studies lack a detailed analysis of various financial statecraft instruments deployed by China. To get a better understanding of China's deployment of financial statecraft over the years under Xi Jinping's administration, this article fills the gap in the existing literature by delving into various factors that influenced various financial statecraft instruments with respect to the objectives, trends or patterns and agencies involved in the region. Given Xi's successful bid for continued political rule by eliminating a term limit on the presidency as well as the escalating China-US strategic rivalry, it is important to examine how the interaction of domestic and international forces has shaped the evolution of financial statecraft in Southeast Asia. Due to the changes in domestic politics and shifts in the geopolitics and geoeconomics, an important question that deserves our attention is how these changes has influenced China's deployment of various financial statecraft instruments in different Southeast Asian countries. The paper focuses on two middle-income countries (i.e., Malaysia and Thailand) and two low-income countries (i.e. Cambodia and Laos) in the region. [ABSTRACT FROM AUTHOR]

With the development of non-performing assets market and the requirement of maintaining national financial security and stability, asset management corporations (AMC) have set up in recent years, facing the dilemma of governance reform and competitiveness improvement. This paper puts forward the Governance-Performance-Competitiveness theory of asset management corporations, and constructs the comprehensive competitiveness evaluation index system of based on internal and external governance mechanisms, and studies the factors and degrees of internal and external governance affecting competitiveness by combining principal component analysis method and grey correlation analysis method. The empirical results show that the asset scale and profitability of asset management corporations directly determine their competitiveness level to a large extent, and the correlation between external governance mechanism and competitiveness is stronger than that of internal governance mechanism. Clustering and grouping are conducted based on the size of competitiveness, and China's local asset management corporation system presents a diamond structure. China's local financial asset management corporations should strengthen the top-level design of internal governance, attach importance to external governance, expand and strengthen the asset scale, and carry out full-chains business while implementing a differentiated development model to achieve sustainable development when adhering to the principal business of non-performing assets. [ABSTRACT FROM AUTHOR]

Based on China's government‐business relations theory, we use difference‐in‐differences and causal forest to find that local green finance policies can significantly enhance corporate ESG performance especially for nonstate‐owned companies, companies with high levels of executive social capital, non‐heavily polluting companies, and companies in developed regions. We also find that the corporate financing constraint mitigation effect and the regional environmental regulation effect of local green finance policies are important mechanisms for promoting corporate ESG performance. Additionally, local green finance policies can strengthen the positive role of corporate ESG performance in enhancing corporate value, which is conducive to corporate sustainability. [ABSTRACT FROM AUTHOR]

In the context of the digital transformation of China's financial system and the synergistic growth of its economic environment, this research explores the impact of digital finance development on the environmental performance of enterprises. Through empirical analysis of data gathered from A-share heavy polluters from 2011 to 2020, our findings show that digital finance effectively improves the environmental performance of heavy polluters. The conclusions remain robust after controlling for endogeneity issues and running a series of robustness tests. The mechanism test reveals that the effects of financing and innovation are important channels through which digital finance influences industrial environmental performance. Furthermore, heterogeneity analysis shows that the beneficial influence of digital finance on the environmental performance of firms is enhanced when firms are smaller, have non-state ownership, are located in East China, and have a lower level of financial development. These findings expand upon the factors that influence corporate environmental performance and provide empirical evidence that heavy-polluting companies should fully grasp the opportunities of digital finance development and improve their environmental performance in order to achieve higher-quality development. [ABSTRACT FROM AUTHOR]

Purpose: The purpose of this paper is to investigate the mechanism of transmitting economic policy uncertainty (EPU) shocks to capital structure. Design/methodology/approach: The authors adopt a novel approach that bridges the asset pricing implications of EPU and the debt-financing decisions of Chinese firms by introducing a variable "policy-risk-induced equity return" (PRER). PRER is the product of the EPU beta and the EPU shock. Differentiating firms as per the signs of the EPU beta helps to shed light on the deep questions of whether their respective leverage targets and speeds of adjustment are different and how the targets and speeds are determined. Findings: The empirical evidence shows that it is the equity market that channels EPU shocks to capital structure through PRER in China. Firms with positive (negative) EPU betas have PRER impact negatively (positively) the leverage target, conforming to the market-timing theory. EPU and non-policy uncertainty shocks cause the speed of adjustment to change over time. Overall, the intertemporal relation between EPU and leverage is negative. These results are robust to alternative leverage measures and after controlling for non-policy uncertainty shocks and conventional firm characteristics and have implications for academic research, policymaking, market stability, and corporate financing. Originality/value: This study is the first to probe for, and provide insights into, the underlying reason why EPU impacts capital structure by connecting asset pricing to corporate financing for a large sample of Chinese publicly traded firms. [ABSTRACT FROM AUTHOR]

Copyright of Transformations in Business & Economics is the property of Vilnius University and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Digital finance has a substantial effect on macroeconomics and plays an important role in corporate investment behaviour. However, few studies examine how digital finance affects corporate investment efficiency. We use the data of Chinese A-share listed companies for 2011–2017 and the provincial digital finance index developed by Peking University to document that digital finance significantly improves corporate investment efficiency. Our findings are supported by extensive robustness tests. In addition, we identify two mechanisms by which digital finance may affect corporate investment efficiency: by reducing financing constraints and stimulating corporate innovation. We find that digital finance has a more pronounced effect on non-state-owned enterprises, small firms, firms in the central and western regions of China, firms with fewer loans, and firms with a higher dependence on external financing, indicating that digital finance increases the inclusiveness of financial markets. Finally, our economic consequences test shows that digital finance increases the total factor productivity of firms. Overall, this study provides insights for developing countries. In particular, it suggests that digital finance can increase firms' resource allocation efficiency. [ABSTRACT FROM AUTHOR]

This study investigates the impact of fintech development on corporate investment efficiency from the dual perspectives of financial constraints and agency conflicts, based on data from Chinese A-share listed corporations and 293 cities' fintech development levels from 2011 to 2020. The results of the study show that fintech makes corporate investments more efficient and that this beneficial impact is long-term; as fintech develops, it plays a greater role in increasing corporate investment efficiency. Based on heterogeneity research, the effect of fintech in boosting corporate investment efficiency is more pronounced in non-states, growth periods, and corporations with weaker internal and external governance. From both aspects of inefficient investment, fintech alleviates under-investment and inhibits over-investment, with a higher inhibitory effect on over-investment. Through a mechanism analysis, we found that fintech has a stronger mitigating effect on under-investment in corporations with higher financing constraints and a stronger inhibiting effect on over-investment in corporations with larger agency conflicts. The conclusions of this study provide critical information for promoting fintech adaptation to corporate needs and high-quality economic development. [ABSTRACT FROM AUTHOR]

This article first describes the embedded voice processing process and uses the two-door restriction method for endpoint detection. Next, the wavelet + MFCC algorithm is proposed. The Fourier transform will replace it with ripple. The disadvantage of the ripple is that the size of the Fourier transform window cannot move with frequency. On this basis, the overall goal of the system is proposed, the overall structure is constructed, and the functions of the system are divided. Android mobile phone data collection technology has been extensively researched, including logical search, temporary access to permissions, JTAG search and ISP search. The design and implementation of the logical search engine based on root authority, the physical search engine based on Qualcomm processor, and the data analysis system have been completed, and the evidence collection of e-commerce applications has been completed. Based on the digital forensics system, this article studies and designs an Android device digital forensics system suitable for China's national conditions and laws from the three perspectives of data collection, analysis and storage. At the same time, brainstorming methods must be used between corporate financial management and cost management personnel. Finally, through research, scientifically construct the framework of the financial cost management system, distinguish the various requirements of the construction system, classify the importance, urgency, and feasibility of the requirements, establish the basic requirements and extension requirements, set the demand function to complete the schedule and Perform as planned. Through the research of embedded voice and digital forensics system, this paper applies it to the research of financial cost management, thereby promoting the development of enterprise financial management. [ABSTRACT FROM AUTHOR]

Due to the increasingly strengthened role of finance in modern economic development, theoretical research on regional financial competitiveness in the study of regional economic competitiveness becomes very important. For China at this stage, finance is in a period of rapid development, and its role has penetrated into all aspects of social and economic life. Especially after China's entry into the WTO, the pace of opening up the financial market has been further accelerated, and comprehensive evaluation and analysis of financial competitiveness is of great significance for comprehensively understanding and accurately grasping China's national conditions, national strength, and international competitiveness, promoting the long-term growth of China's financial competitiveness, and the sustainable development of the financial industry. The competitiveness evaluation of regional financial centers is looked as the multiple attribute decision-making (MADM) problem. This paper intends to propose a MADM methodology based on CoCoSo (Combined Compromise Solution) method under interval-valued intuitionistic fuzzy sets (IVIFSs) for sustainable competitiveness evaluation of regional financial centers. At the end of this study, we noticed to a comparison between the proposed IVIF-CoCoSo approach with other existing methods to verify the effectiveness of the algorithm. [ABSTRACT FROM AUTHOR]

Green financial policy is one of the important policy tools for China to implement the national carbon peak goal and carbon neutral vision through financial means. This policy has an important impact on the business strategy of corporates. Based on the data of listed corporates from 2013 to 2020, this study examines the impact mechanism of China's green financial reform and innovation pilot zones (GFRIPZ) on corporate financialization (CF) using the difference-in-difference method. The results show the following: (1) The implementation of GFRIPZ significantly restrains the CF. (2) GFRIPZ reversed the short-sighted behavior of firms and guided them to accelerate the green transformation and upgrading for long-term development. Firms' environmental capital expenditure and research and development expenditure increased significantly. (3) The restraining effect of GFRIPZ on CF is stronger in state-owned firms, firms with low-degree managerial myopia, and high-polluting firms. The research clearly identifies the causal relationship and mechanism between GFRIPZ and CF and reveals the formation mechanism and solution path of CF from the green finance perspective. In addition, this study has implications for guiding the green transformation of entity firms and stopping firms from deviating from their intended purpose. [ABSTRACT FROM AUTHOR]

• Crowding-out effect of the public sector on private sector economic activity. • Two sources of financing for the government sector are discussed: government bonds and bank loans. • Contrasts state-owned and non-state-owned corporations. • The role of central government regulation. The local government debt risk has attracted government regulators' attention, and its economic consequences have become a new research topic. Based on data from Chinese prefecture-level cities, this paper empirically examines the impact of local government debt on corporate financing from 2006-2018. The results show that government debt financing reduces total corporate debt financing, increases the cost of corporate debt financing, and has a crowding-out effect on corporate debt financing. Local government financing through the financing platform company injects quality projects and reduces the financing constraints of the financing platform to attract credit resources from banks. Insides, the government provides a guarantee for the financing platform company and reduces the bond risk of the financing platform to attract investors to purchase. Severing the link between local governments and financing platform companies can reduce the crowding-out effect to a certain extent. The results of this paper provide evidence for the micro effects of local government fiscal policy, which are informative for further improving the financing capacity of enterprises. [ABSTRACT FROM AUTHOR]

China faces a critical economic structural transformation with increasing financial instability and uncertainty, necessitating a greater need for accurate measurement of systemic financial risk. In the paper, this work analyses the systemic financial risk in China between 2011 and 2020 based on financial development, fragility and risk indicators and the world economy to construct a comprehensive index of systemic financial risk (CISFR). The results show an upward trend in China's financial risk in the past 10 years and a mid-to-high level fluctuation in the past five years, mainly driven by risks in the banking system, securities market and real estate market. In 2021–2022, China's financial system is still in a high-risk stage, and high systemic risks are still an important economic issue. The study's comprehensive index method can be extended to emerging economies. It reflects the main driving factors of financial risk by assigning weights to basic indicators from a multidimensional perspective, thus providing a reference for policymakers to prevent and control financial risk. [ABSTRACT FROM AUTHOR]

This study examines the key influencing factors of voluntary dual ratings selection in corporate bond financing and the effect of dual ratings on risk premium and default risk, based on corporate bond data issued from 2016 to 2021. It shows that the worse the bond issuers' credit qualifications, the more likely they are to seek dual ratings before issuance. Compared to a single credit rating, the risk premium for a bond with dual ratings is lower, and the effect becomes more significant in the low-rated and non-listed company samples. There are dual ratings before bond issuance, and the higher the average credit rating level of the bond, the lower the bond's default risk. The research findings provide a theoretical basis and empirical evidence for the practice of voluntary dual ratings in China, expand research on the influencing mechanism of bond issuance pricing in the context of voluntary dual ratings selection, and examine the information content of credit ratings from the perspective of their ability to predict bond default. [ABSTRACT FROM AUTHOR]

Chinese two policy banks implemented long-term equity injections for some listed companies through special construction funds from 2015 to 2016. We use the PSM-DID method to examine the effect of this equity injection on corporate financing decisions. We find that the equity injection has the financial effect of broadening corporate financing channels and optimizing debt structure, which raises the speed of capital structure adjustment and encourages corporate investment. Financing cost, financing channel, and corporate governance mechanisms can explain the financing effect of equity injection policy, showing that the signal channel plays a vital role in the equity injection policy. Companies with weak financing capabilities, such as private, small scale, weak profitability, central and western region companies, benefit more from the equity injection policy. Corporate governance capabilities significantly affect policy effectiveness. Our conclusions are robust after satisfying the assumptions and other factors that may interfere with the empirical results. We confirm the role of equity injection in reducing corporate financing costs, stabilizing investment, and encouraging long-term, high-quality development of corporations. [ABSTRACT FROM AUTHOR]

Purpose: This study aims to investigate how high-speed railway (HSR) development affects urban construction investment (UCI) bond yield spreads based on China's background. Design/methodology/approach: This study constructs a quasi-natural experiment and adopts regression analyses to empirically examine the relation between HSR development and UCI bond yield spreads. The empirical analysis is based on a Chinese sample of 15,109 bond offering observations from 2008 to 2019. Findings: The results show that HSR development reduces UCI bond yield spreads. Mechanistic analysis shows that HSR development increases land prices and the level of urbanization, which in turn lowers the UCI bond yield spreads. In addition, the impact of HSR development on UCI bond yield spreads is more significant at higher marketization levels and lower degrees of dependence on land finance cities where UCI corporations are located. Research limitations/implications: The results imply that transportation infrastructure improvement, such as HSR development, helps to enhance the credit of local governments and the solvency of UCI corporations and ultimately reduces the financing cost of UCI bonds. Originality/value: This paper provides theoretical support and empirical evidence for the impact of transportation infrastructure construction on the implicit debt risks of local governments in China, which enriches the research on the "HSR economy" from a micro perspective and expands the research on the influencing factors of local governments' debt risk. [ABSTRACT FROM AUTHOR]

With the progress of science and technology and the continuous deepening of audit information construction, audit has gradually separated from the traditional paper vouchers and inspection audit methods, and changed into the application of artificial intelligence, system information technology methods such as cloud technology and mobile Internet. block chain technology, as an advanced information technology, is highly valued by financial accounting experts and scholars due to its powerful data analysis methods and independent distributed architecture systems, which will also cause breakthrough changes to the audit industry. In terms of China's development, block chain technology has been successively used in commodity traceability, financing mode and other fields. In addition, it has become the backbone of the rapid technological, organizational and efficient changes of China's social system. [ABSTRACT FROM AUTHOR]

This paper identifies exogenous monetary policy shocks based on the high frequency transaction data of China's interest rate swap market, and explores the 'signaling channel' of monetary policy by investigating the transmission of different monetary policy instruments on economic activities at both the macro and micro level. At the macro level, both the reserve ratio and the 7-day repo rate (R007) affect China's nonfinancial sectors and financial markets through the credit channel, while at the micro level, a rise in credit spread amplifies the impact of reserve ratio and R007 on corporate finance. There exists a signaling channel of monetary policy in China. The transmission and the signaling channel of China's monetary policy exhibit significant heterogeneity among enterprises with different ownerships, leverages and ages. [ABSTRACT FROM AUTHOR]

Increased consumption is a key driving factor for further economic development in China. This study examines the influence of road network density on consumption vitality, using big data and various empirical models. The results show that increasing the road density improves consumption quantity, quality, and diversity. The lower the grade of the road network where density is increased, the higher the consumption vitality. This effect shows a significant center-periphery characteristic. Regarding the mechanism, a higher road connectivity increases consumption vitality through visitor flow, which is more significant on low-grade roads. Moreover, the improvement in consumption vitality is significantly capitalized into local housing prices and rent. [ABSTRACT FROM AUTHOR]

The development of communication technology has accumulated a large amount of data in the field of finance, and analyzing this data can better portray the behavior of financial entities, which is crucial to the progress of corporate finance. Based on the theory of social network and the classic "prisoner's dilemma" model, this article finds that institutional investors will cooperate to participate in the governance of the listed companies. Then, by using the Louvain algorithm, institutional investor cliques have been derived from institutional investor networks based on nonfinancial listed companies in China between 2007 and 2020. The study uncovers the inhibition effect of the institutional investor clique on the tunneling behavior of the listed companies, and the higher the shareholding ratio and centrality of the institutional investor clique, the stronger its inhibitory strength. This paper extends the concepts and methods from the field of information communication to the analysis of financial institutional investors, offering a theoretical and empirical foundation for the interdisciplinary research of network algorithms and finance. [ABSTRACT FROM AUTHOR]

The signing of the Paris Agreement has raised concerns about global carbon emissions, which have detrimental consequences in terms of climate change. At the same time, the financing process for listed companies has begun to incorporate investigations into these firms' carbon emissions. But the current impact of financing costs on firms' carbon emissions has not been accurately assessed. There are large differences in endowments in different regions of China, and factors flow frequently among regions. To date, no empirical evidence has emerged to show the spatial effects of financing costs on carbon emissions. This study uses the STIRPAT model and a panel lag regression model for empirical testing. The results show that increasing financing costs will increase the burden imposed by carbon reduction efforts in various regions. Although this trend has obvious spillovers to surrounding areas, the location of the enterprise bears a more negative burden of externalities. Further analysis shows that reducing the financing costs of enterprises in economically developed regions can reduce both their carbon emissions and the damage to economic growth. These research conclusions can help policymakers shape carbon reduction activities through reducing corporate financing costs on the basis of regional development differences. [ABSTRACT FROM AUTHOR]

This article explores the interactive effects of digital finance and environmental, social responsibility, and corporate governance (ESG) performance on corporate financing efficiency using data envelopment analysis (DEA) and panel data analysis. Our empirical results demonstrate that higher ESG performance and digital finance enhance corporate financing efficiency at the 1% significance level, and digital finance alleviates the positive marginal effect of ESG performance on corporate financing efficiency. [ABSTRACT FROM AUTHOR]

In the era of "Internet plus," the world economy is becoming more and more globalized and informationalized. China's enterprises are facing unprecedented opportunities for their operation and development. However, it is also facing the financial uncertainties brought about by the fluctuations of the general economic environment, and the company is facing increasing financial risks. The reason why most enterprises encounter a serious financial crisis or even close down in the later stage is that they do not pay full attention to the initial financial problems and do not take effective measures to deal with the crisis in time. Financial risk warning has become an important part of modern enterprise financial management. This paper mainly puts forward the optimized BP neural system as the financial early warning model and ensures its high prediction accuracy. In the research, the operation principle and related reasoning process of the model are described, its shortcomings are analyzed, and solutions are put forward. Through the financial risk analysis of listed companies from 2017 to 2020, we find that the correct rate of the prediction results of the financial distress of normal companies in the selected companies based on the optimized BPNN has reached more than 80%, which proves the effectiveness of the optimized BPNN. [ABSTRACT FROM AUTHOR]

Despite its carbon neutrality commitments and the prospect of increasingly stringent climate policy measures, China is continuing to build new coal-fired power plants. In assessing the expected performance of these investments, it is helpful to analyse them through an 'economic' framework measuring a broader view of the country-level economic returns on new coal power investments, as a complement to the plant-level financial analysis framework commonly used to assess stranded asset risks. This simplified economic framework, in which inputs and outputs are measured according to the costs and benefits they generate for the national economy, leads to markedly different dynamics than financial analysis alone. This framework can help China to avoid 'wasting' scarce public resources by over-investing in new uneconomic power plants through its state-owned enterprises. Applying this approach to a representative new coal plant in China shows that modest shadow carbon pricing (rising from US$15/tCO2 in 2026, to US$30/tCO2 in 2041) eliminates the expected value of the project to China's economy. Caps on coal-fired electricity generation have less impact on economic returns, but severely undermine financial returns, potentially making such caps a more effective short-term policy tool to dissuade company executives from making new coal investments. Without carbon pricing, only a moratorium on coal-fired power generation in 2030 or earlier prevents new plants from realizing a positive economic return. Comparing these results with an alternative solar/storage investment suggests the renewable option generates higher economic returns than the coal plant under modest shadow carbon pricing and lower electricity storage costs. Key policy insights Economic analysis of proposed coal plants complements plant-level financial analysis and better captures governments' interests in these projects. Both economic and financial analyses are relevant to the decision-making of government shareholders. State-led coal plant investments in China today is likely to be economically wasteful under modest future climate policy scenarios, particularly in light of declining levelized costs of renewable alternatives. This framework for combined financial and economic analysis also applies to other countries' proposed investments in carbon-intensive power generation. The framework is particularly pertinent for countries with state-led coal power investments planned, including India, Indonesia, Pakistan, South Africa, and Vietnam. [ABSTRACT FROM AUTHOR]

The nexus of debt financing and enterprise innovation is the most arguable debate in the modern literature of corporate finance. The subject of external debts and a smooth innovative environment is one of the common puzzles for high‐tech firms. We attempt to address this puzzle and explore the impact of efficient utilization of debt on the linkage between R&D intensity and technology investment. Patent count data are used to measure enterprise innovation, therefore, negative binomial and Poisson regression is applied for empirical analysis. The estimations validate that the linkage between debt financing and corporate innovation is inverted U‐shaped which approves the Kuznets curve hypothesis. Technology firms tend to decline debt undertaking after achieving a specific level, it is assumed as an optimum debt point, higher in incremental and lower in radical innovation. The mediation role of debt financing in the linkage between R&D intensity and technology investment is negative. However, efficient debt undertaking which remains under the optimum level improves the association between R&D intensity and enterprise innovation. High‐tech firms should be cautious on external financing because abundant debt undertaking worsens a smooth innovative environment. [ABSTRACT FROM AUTHOR]

Research background: In the digital era, digital transformation has become a strategic imperative for leadership agenda. Many firms have accelerated their pace in digital transformation to improve their performance and competitiveness. Despite increasing attention in the literature on the role of digital transformation in firms' operations, understanding the effect of digital trans formation on corporate finance remains limited. This study focuses on cash holdings, which are essential for firms to survive and thrive. Purpose of the article: The aim of this paper is to examine the critical role of digital transformation on the cash holdings of listed firms in China and provide micro evidence regarding the economic consequences of the digital economy from firm level. This study also aims to deepen our understanding of the influence of digital transformation on firms' operation and financial policy. Additionally, this paper attempts to provide relevant guidance for implementing policies to promote digital transformation and devise corresponding cash holding strategies. Methods: The text analysis method is used to measure the degree of digital transformation of China's A-share listed companies. The sample covers 19,337 observations from 2007-2020. A multiple regression model with firm and year fixed effect is developed to investigate the relationship between digital transformation and corporate cash holdings. In the robustness test, this paper substitutes the independent and dependent variables, and adopts instrumental variable estimation method. In the mechanism test, this paper uses the sub-sample regression method in the mechanism test. Findings & value added: This study reveals that digital transformation can significantly reduce corporate cash holdings by alleviating the precautionary motive, agency motive and transaction motive of cash holdings. Further analysis shows that the negative effect of digital transformation on cash holdings is more profound in high-tech firms and non-state-owned enterprises. The methodology applied in this paper can be used in other economic research of firms. This study provides insights into the effects of digital transformation on corporate financial policy. This provides a solution for reducing firms' cash holdings. This study also deepens the understanding of digital transformation from a corporate perspective. [ABSTRACT FROM AUTHOR]

It is crucial to achieve sustainable development using digital finance to promote the fulfillment of corporate social responsibility. In this paper, we study the impact of digital finance on corporate social responsibility performance of pollution-intensive industry. From the perspective of theoretical mechanism, digital finance could influence corporate social responsibility performance through financing effect. Then, we use the data of Chinese listed companies and the Peking University Digital Financial Inclusion Index of China (PKU_DFIIC) to empirically test the influence of digital finance on corporate social responsibility of pollution-intensive industry. The results show that digital finance is positively related to the fulfillment of corporate social responsibility of pollution-intensive industry. The mechanism test shows that by reducing the information asymmetry in the financial market and making them easier for enterprises to access the financial market, digital finance effectively alleviates the financing constraints of enterprises and then enables enterprises to invest more capital in corporate social responsibility. Furthermore, we find that there are heterogeneous influences of digital finance on the corporate social responsibility performance of different types of enterprises. Specially, enterprises with small scale, located in high informatization and marketization areas and eastern regions of China, and enterprises with high ownership concentration will enjoy more positive impact. By using different indicators to measure digital finance and changing samples for robustness checks, the research conclusions of the paper are still valid. Therefore, government should make more effort to support the development of digital finance, so as to promote corporate social responsibility of pollution-intensive industry and the green and sustainable development of the economy. [ABSTRACT FROM AUTHOR]

In the past 30 years, Jiangsu Province in China has achieved great feats regarding its export trade; however, its export trade growth rate has not only been showing a recent downward trend but also great fluctuations. Hence, the competitiveness of Jiangsu Province's export products seems to have weakened. Through an empirical analysis, we demonstrate the relationship between financial development and export trade in Jiangsu Province, showing that the influence of financial development on the growth and the structure of provincial export trade is relatively weak. Thus, we believe that provincial financial development lacks coordination with export trade, requiring further efforts from actors at coordinating both. This paper puts forward relevant suggestions that may facilitate stakeholders to promote the steady development, transformation, and improvement of Jiangsu Province's export trade. [ABSTRACT FROM AUTHOR]

Green finance is not just a global trend, but it has become an important channel for industrialized countries to achieve sustainable growth. However, few studies have discussed the environmental governance effects of green finance from the micro-firm level. Based on the data of Chinese A-share listed firms in heavily polluting industries, we, combining with property rights and environmental regulation, empirically research the influence of green finance on corporate environmental responsibility (CER) performance. Results indicate that green finance has a significant negative effect on the environmental responsibility of heavily polluting firms. The result remains after a series of robustness tests. In addition, property rights and environmental regulation play a moderating role in the above relationship. The negative impact of green finance on CER is stronger in private firms and firms in areas with low environmental regulation intensity. Moreover, we observe that green finance decreases the CER performance of heavily polluting firms by increasing financing constraints, reducing environmental investment, and diminishing technological innovation. This study identifies the external factors that influence CER and also provides implications and theoretical support for the government to improve the setting and the implementation of green finance policy in the future. [ABSTRACT FROM AUTHOR]

Science and technology (S&T) innovation is a significant driving force for regional productivity, and strong financial support can effectively promote S&T innovation. As the regional main body of S&T innovation, the first thing that enterprises need to address is the demand for funds. Internal funds are needed to maintain the overall daily operation of enterprises, and regional science and technology innovation funds mainly come from external financial support. Using the factor analysis method, multiple indicators were adopted to comprehensively evaluate the level of S&T innovation in each province and city as the variables and financial scale, financial structure, and financial efficiency as the variables, and the impact of financial support on science and technology innovation in four major regions was empirically studied using a panel data model. The degree of development of banking institutions and capital markets in different regions of China varies, and the financial system's support for China's S&T innovation varies widely. Therefore, it is important to study the impact of financial support on science and technology innovation among different regions in China for the balanced development of China's regions. [ABSTRACT FROM AUTHOR]

While global production networks stress the role of lead firms, state entrepreneurialism highlights the role of the state in governing innovation-driven development. However, there is a gap in understanding how the state institution configures and operates to achieve its strategic development goals. This paper fills this gap by examining market means of park management. It shows that Zhangjiang Science City in Shanghai reinvented its development agency – a park development corporation to mobilize finance and govern development. Jiangbei in Nanjing focused on coupling with a multinational lead firm – the Taiwan Semiconductor Manufacturing Company. Rather than thinking of innovation governance as state-commanded, we reveal they are market-based operations. At the same time, they extend the state capacities into industrial governance. • A timely study of governing economic development under geopolitical challenges and in innovation spaces. • Builds a conceptual framework to comprehend state strategies and market mechanisms for China's innovation-driven development. • Fills the gap in understanding how the state institution configures and operates to achieve its strategic innovation goals. • Contributes to state entrepreneurialism by focusing on how innovation as a political agenda is achieved by market means. • Rather than thinking of innovation governance as state-commanded, this paper reveals that they are market-based operations. [ABSTRACT FROM AUTHOR]

This study examines how firm-level exposure to climate change shapes sustainable financial and energy performance. We utilize a robust two-way fixed-effects approach to examine 2905 Chinese listed enterprises spanning 2010 to 2022. Our primary objective is to unravel the direct effects of climate change exposure (CCE) on corporate financial performance (CFP) and corporate energy performance (CEP), and to explore how CEOs' green experience moderates these effects. The findings delineate significant adverse effects on CFP and CEP stemming from CCE. Notably, augmenting CEOs' green experience can help to mitigate these effects. We also emphasize the pivotal roles of green technology innovation (GTI) and the augmentation of environmental, social, and governance (ESG) performance as primary conduits through which CCE influences CFP and CEP. Our study illuminates nuanced variations in these influences that are based on climate risk type, geographical regions, firm scale, and industry. These insights offer fresh theoretical perspectives and robust evidence that are crucial for tackling climate-related challenges, especially in the context of emerging economies such as China. They also provide important implications for government actions, suggesting ways to refine environmental policy at the firm level. [ABSTRACT FROM AUTHOR]

Under the development of social economy and the gradual improvement and optimization of the financial and economic system, China's financial structure is constantly changing and evolving. Financial institutions are the interrelations and connections between the various parts of the economy as a whole. They represent the role and achievements of the financial economy. Research shows that the transformation and evolution of financial structure promotes economic development and management efficiency. Therefore, under the background of the continuous evolution of financial structure, this article explores the factors of the evolution of financial structure on economic growth and management efficiency. The results of the experiment are as follows: (1) this article investigates developments of the evolution of financial structure, economic development, and management efficiency, determines the research direction of the experiment, provides background support for the subject research of this paper, and explores the influencing factors according to the impact mechanism on economic development and management efficiency and (2) put the evolution background of the financial structure in the degree of economic development and management efficiency. By using the economic growth calculation algorithm and management efficiency calculation algorithm, calculate the change trend of the range of economic growth and the fluctuation of the degree of management efficiency under the background of the evolution of the financial structure. The experimental results show that under the background of the evolution of the financial structure, the total development of the national economy has been effectively broken through, and the management mode of enterprises has been improved to effectively improve the management efficiency. [ABSTRACT FROM AUTHOR]

This study explores corporate financing behavior regarding the company and countrylevel factors and risks associated with policy-related regulations. The study considers all three categories of risk: geopolitical risk, economic policy uncertainty, and political risk. In addition to this, we investigated how the links between diverse types of financing activities and the policy-related risks associated with them change depending on the type of financing strategy utilized (debt vs. equity). The study examined quarterly data from 2016Q1 to 2020Q3. EViews 12 is used for data analysis. Findings show financial restrictions, as well as inequities within the sector, have an impact on corporate investment while policy-related risks might impact a company’s financing selections. Compared to equity financing, debt financing is more susceptible to policy-related risk. According to the available information, features at the company and nation levels also impact corporate finance choices. Finally, firms that have little financial resources are more susceptible to the adverse effects of policy-related risk than industrial companies are. Managers, as well as governments, should utilize these insights to design economic strategies that are more successful in the future. [ABSTRACT FROM AUTHOR]

This paper aims to discuss the fragilities of hierarchical structures of Chinese financial market, and find out the possible faults. We propose an analysis approach to explore the structure characteristics of financial market based on the manifold structure of financial data. First, we extract the underlying manifold embedded in financial time series data by manifold learning, which governs the dynamics of financial system. Second, the surface curvature of manifold is used to serve the quantitative analysis of manifold structure, in which the rate of curvature change is employed to measure the structure fragility. Finally, the dynamics of manifold structures are discussed by Lyapunov exponents, which further explore the fragilities of markets and confirm the conclusions of curvature analysis. In empirical research, we select CSI 300 index as the overall trend indicator of China's financial market, and nine industry indexes as hierarchical market indicators. Our research results indicate that Chinese financial market has less chaotic than the real economy industries, in spite of its high fragility. Some real economic industries are most likely to crash first in the event of a crisis. The findings contribute to present the states of financial markets and provide decision support for investors. [ABSTRACT FROM AUTHOR]