Investment In China Research Articles

The impact of regional emergency logistics response capacity on sustainable economic growth in China

To assess the impact of China’s regional emergency logistics response capabilities on economic growth sustainability, this study develops a set of comprehensive indicators. It applies the entropy weight method combined with the TOPSIS method to evaluate these capabilities across regions. Based on panel data from 30 provinces in China from 2012 to 2021, this study employs panel models, panel quantile regression, and panel threshold models to analyze the impact of emergency logistics response capability on sustainable economic growth. By measuring the regional emergency logistics response capability and examining its effects on the sustainability of economic growth, this research provides foreign investors with a clearer understanding of the ability of different regions in China to handle unexpected public incidents. This, in turn, helps reduce investment uncertainty, mitigate certain risks, and offers valuable insights for enhancing the efficiency of international investments in China. Key findings are: (1) Since 2018, the establishment of the Ministry of Emergency Management has significantly improved China’s regional emergency logistics capabilities, with the eastern region outperforming the central and western regions. (2) Enhancing China’s emergency logistics response capability helps improve the sustainability level of economic growth. This reflects how China’s emergency management departments can mitigate the adverse impacts of public emergencies on economic growth by transforming social logistics into emergency logistics. (3) As emergency response capabilities have strengthened, their impact on economic sustainability initially decreased but later increased.

China's Investment in Bangladesh: Backdrop of Debt Trap Diplomacy

This research investigates the implications of Chinese investment in Bangladesh, particularly in the context of concerns surrounding debt trap diplomacy. As China extends its Belt and Road Initiative (BRI), Bangladesh has emerged as a significant recipient of Chinese loans and investments, encompassing infrastructure projects such as ports, power plants, and highways. While these investments are poised to bolster Bangladesh's economic development, they also raise concerns about the potential for unsustainable debt levels and the erosion of sovereignty. This study delves into the economic, political, and social ramifications of Chinese investments in Bangladesh. Through a mixed-methods approach combining quantitative analysis of debt sustainability indicators and qualitative assessments from stakeholder interviews, the research examines whether Chinese funding is leading to a debt trap scenario. Preliminary findings suggest that while Chinese investments have accelerated infrastructure development, they have also increased Bangladesh's debt burden and dependency on China. Furthermore, the strategic placement of investments suggests potential geopolitical motivations behind Chinese funding. This research aims to contribute to the broader discourse on the impact of Chinese foreign direct investment in developing countries, offering policy recommendations for Bangladesh to navigate the complexities of foreign financing without compromising its economic sovereignty. The study underscores the necessity for rigorous debt management and transparent investment policies to mitigate the risks associated with large-scale foreign loans.

Risk and Benefit Analysis of China’s Foreign Direct Investment in the Energy Sector: Case Study of the Belt and Road Initiative

Since 2011, China has been the world's largest energy consumer. The industrial sector uses two-thirds of the energy consumed in China. The main reason for investment in energy is that China is a net importer of energy, especially oil. The impact of Chinese foreign investments and the energy sector, which is the largest of the individual sectors, are the main subjects of the analysis of the presented paper. In the paper, we used the WoS viewer program to perform a bibliometric analysis of authors, countries, and keywords that deal with FDI. Subsequently, we used various scientific methods, such as the method of observation, method analysis, synthesis, comparison, exploration and explanation, to analyse Chinese investments that flow into multiple sectors worldwide, but especially into the countries participating in the Belt and Road Initiative and into the energy sector from 2013 to the present. As part of the Belt and Road Initiative, China invests in various projects in the form of "loans" and, in many cases, creates debt traps that allow China to seize the assets of participating countries. In this paper, we focused on the energy sector and its development so far within the given initiative, and we also defined what the initiative should focus on within renewable resources. China's energy investments include oil, hydropower, alternative energy, natural gas, and coal. The sharp drop in Chinese investment after 2019 was caused by the COVID-19 pandemic. To conclude, although energy has remained China's primary sector for investment within the BRI regions, Chinese capital has gradually diversified into sectors such as transportation, real estate, technology and innovation, and tourism.

Under the Belt and Road Initiative: A comparative study of the China investment in construction sector in Southeast Asia

This study investigates the impact of the Belt and Road Initiative (BRI) on the construction sector in Southeast Asia, focusing on Thailand, Malaysia, and Cambodia. Qualitative research approach is used to analyze the implications of Chinese investments in these countries, exploring both the opportunities and challenges faced by Chinese investors. Key research questions address the resilience of the construction sector, the obstacles encountered by investors, and the influence of policy on the construction business. Through interviews with CEOs and senior managers of major construction companies and a review of relevant documents, the study uncovers the economic and geopolitical motivations behind China’s BRI strategy. The findings reveal significant insights into the benefits and drawbacks of BRI financing, providing recommendations for overcoming challenges and leveraging future opportunities in Southeast Asian construction sectors.

Interpreter Intervention: Balancing Objectivity and Subjectivity in Business Negotiations

In the era of economic globalization, interactions and collaborations between China and the global economy have significantly intensified. This trend has led to increased foreign investment in China and a growing number of Chinese enterprises expanding their operations internationally. Successful business negotiations are crucial for these endeavors, yet they face challenges such as linguistic barriers, cultural differences, and divergent thought processes. In such high-stakes scenarios, an experienced interpreter serves as a vital communication link between Chinese and international parties. This paper aims to examine the role of dialogue interpretation in business negotiations and to investigate how interpreters can effectively leverage their subjective judgment alongside strategic translation techniques. By doing so, interpreters can facilitate smoother negotiations and contribute to mutually beneficial outcomes. The study will explore specific strategies that enable interpreters to bridge cultural and linguistic gaps, thereby promoting successful and harmonious negotiations.

China's Investment in Africa: Exploring the Human Rights Dimensions

China's Investment in Africa: Exploring the Human Rights Dimensions

Synergistic pathways for health investment and economic development in China: a fuzzy-set qualitative comparative analysis.

System coordination is an effective way to achieve high-quality development, and the debate on the interaction between health investment and economic development is still ongoing. To strengthen previous research and offer feasible advice and references for relevant stakeholders, we provide empirical evidence for exploring intersystem coordination and enhancement pathways using data from China. Based on the data published by the National Bureau of Statistics of China, the current status of the interaction and coordination between health investment and economic development in China was measured by calculating the comprehensive evaluation index, relative development degree, and coupling coordination degree. Subsequently, a fuzzy-set qualitative comparative analysis method was introduced to explore pathways for enhancing system interaction and coordination. There are obvious inter-provincial and regional differences between health investment and economic development in China. Provinces in the west and north are lagging in economic development, while provinces in the east and south are lagging in health investment. There is a clear synergy between health investment and economic development, and there is still much room for improving the degree of coupling coordination between systems. The five conditional configurations derived from the fuzzy-set qualitative comparative analysis yield three pathways for enhancing system coordination: a health expenditure-driven path, an economic development-driven path, and a balanced health investment and economic development-driven path. Health expenditure is sufficient for high coordination, and the level and equity of investment in health expenditure should be improved. The gross regional product is a necessary and sufficient condition for high coordination, and consideration must be given to strengthening the regional economic support capacity. Health investment and economic development can drive the coordinated development of the system in a balanced way. This enlightens us to give full play to the positive synergy between health investment and economic development based on promoting the benign interaction of subsystems.

Can Chinese investors manage climate risk domestically and globally?

Climate risk is increasing and poses a risk for investors in China’s traditional stock market. In this paper, we construct a TVP-VAR-DY model and use benchmark regression and asset portfolio to explore the impact of climate risk on the Chinese stock market and whether assets with risk aversion attributes or green and low-carbon features can effectively manage climate risk. In particular, we compare China’s climate risk with global climate risk and explore transition and physical risks separately. The results show that climate risk does affect the Chinese stock market and that Chinese climate risk has a greater impact on the stock market than global climate risk. However, the good news is that the metal assets, as well as the equity-type and bond-type green assets, are effective in reducing cross-market spillovers under China’s climate risk, indicating that these assets can provide diversification benefits against climate-driven risks domestically. We also find that the metals and the equity-type assets could dampen the spillover effect against global transition risk, and the bond-type ones serve this function against global physical risk. The results further show that, for China’s stock market investors, adding green bonds to their portfolios could reduce the downside risk, regardless of climate risk type or origin. In addition, we can infer that investors are suggested to use traditional safe-haven assets and bond-type green ones to manage climate risk.

Public pensions and family dynamics: Eldercare, child investment, and son preference in rural China

Public pensions and family dynamics: Eldercare, child investment, and son preference in rural China

CEO Overseas Experience, Cultural Distance and Corporate Financialization: The Mediating Effect of ESG Investment in China

CEO Overseas Experience, Cultural Distance and Corporate Financialization: The Mediating Effect of ESG Investment in China

Common institutional ownership and corporate maturity mismatch

Using data from Chinese listed firms from 2003 to 2022, we find that common institutional ownership significantly increases maturity mismatches of investment and financing by reducing the aggressiveness of corporate strategy. This relationship remains qualitatively the same after a battery of robustness and diagnostic tests and becomes stronger in observations with lower industry competition or economic policy uncertainty. Our study has implications for promoting institutional investors in China and forestalling major financial risks.

Interest rate liberalization and household investment in China

In this study, we investigate the impact of interest rate liberalization on household investment behavior in China using data from the China Household Finance Survey from 2011 to 2019. We find that financial liberalization significantly increases the likelihood of households participating in financial markets and raises their holdings of riskier assets, driven by the wealth effect. This effect is more pronounced among higher-income, higher-asset, and better-educated households, without housing mortgages, as well as urban households. Our results highlight the importance of financial liberalization policies and provide new perspectives on the “limited participation puzzle” documented in emerging economies, where relatively few households actively invest in financial assets despite high expected returns. This study underscores how interest rate deregulation incentivizes household portfolio reallocation and promotes financial inclusion across socioeconomic groups.

国际投资协定中安全例外条款的研究

The security exception clauses in international investment agreements, as a special expression of the exception rule in the treaty, are a necessary attribute of national sovereignty and have the dual significance of macro-flexibility and micro-balancing. In recent years, due to the particular importance attached by each country to its own national security and the increasing popularization of the concept of national security, security exception clauses have appeared in an increasing trend in international investment agreements and judicial cases. Nevertheless, such clauses are suspected of abuse both in stipulation and application. By summarizing the provisions of safety exception clauses in the texts of international investment agreements by China and other countries, it is believed that there is room for improvement in the setting, number, and content of the clause. Proposing targeted solutions will contribute to the sound development of the application of security exceptions in the field of international investment in China.

The Role of Procedural Fairness: Land Titling Programs and Agricultural Investment in China

This study examines the moderating role of procedural fairness between land titling programs and agricultural investment. We constructed a theoretical model that introduces perceived security of land tenure and procedural fairness into the traditional “property rights-investment incentives” analytical framework. Moreover, we empirically analyze the impact of land titling and its procedural fairness on agricultural investment using data from the “Thousands of People, Hundreds of Villages” survey held in 2018 among 9596 households in China. The empirical analyses were conducted by using the ordinary least squares (OLS), probit, and instrumental variable methods. Our analysis showed that land titling in China significantly promotes agricultural investment by farm households and that procedural fairness has a significant positive moderating role in the investment incentive effect of land titling as well as significantly improving the institutional credibility of land titling and enhancing farmers’ perceived land tenure security.

Online judicial auction, loan availability, and corporate investment in China

Online judicial auctions can significantly impact corporate investment by enhancing creditor protection and facilitating loan availability. Using a dynamic difference-in-differences strategy, we find that the reform significantly boosts corporate investment. Mechanism tests reveal that the reform boosts corporate investment by improving corporate loan availability and creditors' willingness to lend. The effect is more pronounced in regions with high judicial auction turnover, high public participation, poorer legal environments, and lower banking competition, suggesting that these reforms enhance legal system efficiency and market competition. Additionally, we find that judicial auction reform reduces firms’ precautionary savings and fosters regional economic development. Overall, our study contributes to understanding the important role of creditor protection in corporate investment and provides insights for implementing digital judicial reforms.

Agricultural tax reform, capital investment, and structural transformation in China

Identifying the driving forces of structural transformation is crucial for understanding economic development. In the early 21st century, China experienced a rapid labor shift from agricultural to non-agricultural sectors. This shift is often attributed to the industrial sector’s “pull” force, while the agricultural sector’s “push” force remains less understood. This paper investigates the role of the Agricultural Tax Exemption (ATE) reform in promoting inter-sectoral labor reallocation in China, which ended over two millennia of agricultural taxation on farmers. Our results show that the introduction of the ATE reform contributed to a significant increase in the share of non-agricultural workers. Mechanism analysis reveals that this reform encouraged capital investment among farmers and improved agricultural productivity, consequently displacing surplus agricultural workers. Further analysis shows that the labor reallocation induced by the reform had significantly increased employment and output within the secondary sector, although its effect on the tertiary sector was relatively minimal.

Research on Problems and Solutions of Quantitative Investment in the Chinese Market

Quantitative investment has gradually become increasingly important in the Chinese finance market in recent decades. It improves the efficiency of investment, reduces the risk of investment, enhances the liquidity of some market assets and provides new opportunities to accumulate wealth for investors. As a new investment method, it raises some problems which lead to the turmoil of the market when it keeps developing and gaining traction. This paper will review the current situation of quantitative investment in the Chinese market from its development history and the sizes of funds. This study shows that there are mainly four problems existing in the application of quantitative investment in China. Listed below are problems. The evident government intervention in the market has a negative impact on the fitting effectiveness of quantitative models. Some kinds of assets and commodities face poor liquidity and for them, quantitative investment strategies can hardly be conducted accurately. The accuracy of quantitative analysis can be unreliable for the financial data is sometimes incomplete and unreliable in the Chinese market. The high-frequency trading affects the stability of the whole market because of lack of market supervision. This paper also puts forward relevant countermeasures and suggestions according to these problems. This study has great significance to the healthy development of quantitative investment in the Chinese market.

What is the role of cross-ownership in corporate digital innovation: “stepping stone” or “hindrance”?

PurposeThe purpose of this study is to examine the impact of cross-ownership on corporate digital innovation and their specific mechanisms. Cross-ownership, who hold equity in two or more companies simultaneously, have two different types of governance effects in the capital market: governance synergistic effects and competitive collusion effects.Design/methodology/approachThis paper uses a panel model, selecting A-share company data from 2011 to 2021 in China. In total, 23,853 valid data were obtained, which came from the CSMAR database and Wind database. For some missing data, they were manually supplemented by consulting the company's annual report and Sina Finance. Data processing was conducted using EXCEL and Stata16.0 software.FindingsThe results show that cross-ownership promote corporate digital innovation by leveraging governance synergies. Further grouping tests show that the synergistic effects of cross-ownership are significant in non-state-owned, high-tech, weakly competitive and higher analyst attention enterprises. Mechanism testing shows that cross-ownership can empower corporate digital innovation in three ways: reducing information asymmetry, alleviating financing constraints and improving corporate governance.Originality/valueThe conclusion of this paper provides new empirical evidence for a comprehensive understanding of the role of cross-ownership in corporate development, enriches the economic consequences research of chain institutional investors in China and broadens the research perspective of corporate digital innovation. It also provides important references for the digital transformation of enterprises and the healthy development of the capital market.

Investigating the main factors responsible for changes in income inequality in China between 2000 and 2018

Poverty, and especially the widening disparity between the rich and the poor, leads to social unrest that can interrupt the harmonious development of human society. Understanding the reasons for income inequality, and supporting the development of an effective strategy to reduce this inequality, have been major goals in socioeconomic research around the world. To identify the determinants of the income gap, we calculated the Gini coefficients for Chinese provinces and performed regression analysis and contribution analysis for heterogeneity, using data from 30 Chinese provinces from 2002 to 2018. We found that urbanization, higher education, and foreign direct investment in eastern China and energy in central and western China were important factors that increased the Gini coefficient (i.e., decreased equality). Therefore, paying more attention to the fair distribution of the factors that can increase the Gini coefficient and investing more in the factors that can reduce the Gini coefficient will be the keys to narrowing the income gap. Our approach revealed factors that should be targeted for solutions both in China and in other developing countries that are facing similar difficulties, although the details will vary among countries and contexts.

Research on the Sheepskin Effect in China: Factors Influencing Educational Returns and Heterogeneity Analysis

Using sample data from the China General Social Survey (CGSS2021), this study employs econometric methods based on the basic cost-benefit economics perspective. It investigates the relationship between educational investment and labor income in China in recent years, utilizing the Mincer earnings model as well as an extended model incorporating additional control variables. An Ologit model is constructed to analyze the impact of gender, ethnicity, family economic status, and regional registration on educational attainment among the sample population. Furthermore, the study compares educational returns across different genders, regions, workplaces, and job positions. Finally, based on empirical analysis, suggestions are proposed to enhance individual income levels and optimize the allocation of social educational resources from both individual and environmental perspectives.