Digital Inclusive Finance and Regional Innovation Output

Abstract

This paper systematically sorts out the internal mechanism of the development of digital inclusive finance affecting regional innovation output, and uses the panel data of 31 provinces in mainland China from 2011 to 2020. From the provincial level, the individual fixed effect model and channel test are used to test the promotion effect of digital inclusive finance on the improvement of regional innovation output. The study found that the development of digital inclusive finance, its coverage, depth and degree of digitalization help to improve regional innovation capacity. The empirical results show that the development of digital inclusive finance is conducive to alleviating financing constraints and directly promoting regional innovation output; The analysis of intermediary mechanism shows that digital inclusive finance can increase external demand by promoting industrial upgrading, and then indirectly promote regional innovation output. This provides policy inspiration for relevant government departments to evaluate regional development conditions, expand the scope of financial services, and improve regional innovation systems and mechanisms.