Abstract
The digital finance generated by technology empowerment profoundly affects the innovative behavior of micro-enterprises. To estimate how digital finance influences the quantity and quality of green technological innovation, this paper introduces digital finance into endogenous economic growth model and further conducts correlation analysis with the combination of fixed effects model (FE) and panel threshold model (PTM). Moreover, this paper investigates the action mechanism from the perspective of financial constraint and financial cost. The empirical results indicate that digital finance improves the quantity and quality of green technological innovation significantly. Compared with the coverage of digital finance and digital services, the impact of usage depth on green innovation accumulates dynamically superimposed in the long term. The digital finance contributes to correct the mismatch of financial resources and further induces inclusive green innovation in the dimension of ownership, growth cycle, and enterprise scale. Mechanism analysis shows that the relief of financial constraint, environmental information disclosure, and increase of R&D investment are the main paths for digital finance to drive green innovation. With the different thresholds, the dynamic evolution process of green innovation driven by digital finance is characterized by "first quantitative change and then qualitative change." This paper suggests that the integration of technological innovation and digital financial services needs to build an inclusive digital financial service system, cultivate diversified financial formats, and improve the market environment of digital financial services.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
More From: Environmental science and pollution research international
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.