Significant Inverted U-shaped Relationship Research Articles

Can Urban Sprawl Promote Enterprise Innovation? Evidence from A-Share Listed Companies in China

Urban sprawl does not invariably impede factor agglomeration; rather, it can foster polycentric urban configurations, thereby enhancing productivity and encouraging enterprise innovation. This study investigates the effect of urban sprawl on enterprise innovation using data for A-share listed Chinese companies from 2010 to 2020. The results reveal a significant inverted U-shaped relationship between urban sprawl and enterprise innovation, particularly among large enterprises, well-established entities, non-state-owned enterprises, and those operating in non-manufacturing sectors. Additionally, the effects of urban sprawl on the inverted U-shaped relationship are more pronounced in the north-eastern regions and small cities. Regional integration significantly moderates the inverted U-shaped relationship between urban sprawl and enterprise innovation. This research contributes new insights to the field of enterprise innovation, offering theoretical and empirical support for analyzing the economic implications of urban sprawl.

Promotion incentives, economic growth targets and industrial land supply: evidence from China

ABSTRACT This study examines the impact of officials’ promotion incentives on the industrial land supply and explores the mediating role of economic growth targets, which are greatly influenced by local leaders. Using the panel data of 257 prefecture-level cities across China from 2007 to 2019, we identify the influence of officials’ promotion incentives on industrial land supply using a two-way fixed-effects model and then examine the mediating role played by the setting of economic growth targets using a mediating-effects model. The estimated results indicate that the promotion incentives of local leaders and the supply of industrial land by local governments follow a significant inverted U-shaped relationship, and that the economic growth targets play a partial mediating role. Heterogeneity analysis shows that the impact of promotion incentives for local leaders on industrial land supply is significantly heterogeneous due to differences in the age of local leaders and the economic development across different regions. The findings are important for improving China’s assessment system of officials, formulating economic growth targets, and optimizing the allocation of urban industrial land.

Can fiscal expenditure for agriculture mitigate the impact of climate change on agricultural production?

The profound impact of climate change on agricultural production, and the government’s fiscal expenditure for agriculture, is considered a crucial means to address this challenge. This study utilizes panel data from all prefecture-level cities in Heilongjiang Province from 2000 to 2020. Drawing upon the Cobb–Douglas production function, an economic climate model is constructed to empirically analyze the impact of climate change on grain yield in Heilongjiang Province. Furthermore, the role of fiscal expenditure for agriculture in mitigating the effects of climate change on grain yield is explored. Feasible Generalized Least Squares (FGLS) estimation is employed to address issues of “heteroscedasticity,” “autocorrelation within groups,” and “cross-sectional contemporaneous correlation” present in the model. The results indicate that climate change has a positive impact on rice and corn yields, while exhibiting a negative impact on wheat yield. The influence of climate change on crop yield is both linear and nonlinear. Specifically, temperature demonstrates a linear relationship with rice and corn yields, whereas precipitation shows a significant inverted U-shaped relationship with rice and corn yields. The impact of climate change on grain production in Heilongjiang Province varies significantly across regions. Fiscal expenditure for agriculture has a significant positive effect on the yield of major grain crops in Heilongjiang Province. In addressing the impact of climate change on grain production, agricultural fiscal expenditure enhances the positive effect of precipitation on rice and corn yields, while diminishing the positive impact of temperature on corn yield.

Research on the green innovation effect of digital economy network – Empirical evidence from the manufacturing industry in the Yangtze River Delta

The digital economy is open and borderless, and the development of an urban digital economy forms an associated network. Based on the social network theory, the digital economic association network formed between cities can enable manufacturing enterprises to obtain heterogeneous resources, stabilize the network relationship between nodes, and improve innovation performance. The digital economy's spatial correlation network drives the manufacturing industry's green innovation to improve quality and efficiency. Through the integration of external relations, green innovation, proximity, regional innovation system, and other dimensions of the theory, this study takes 41 prefecture level cities in the Yangtze River Delta from 2006 to 2021 as samples to construct the digital economy correlation network of urban agglomerations and uses the social network analysis method (SNA) to reveal the evolution law of the digital economy correlation networks. We establish the panel fixed effect model to explore the green innovation effect of digital economy networks. The results show that the Yangtze River Delta urban agglomeration constitutes a spatial correlation network of the digital economy, promotes the sharing and exchange of manufacturing resources through factor linkage, and produces a green innovation effect. The network centrality and relationship strength have a significant inverted U-shaped relationship with the green innovation of the manufacturing industry. There is a significant U-shaped relationship between structural holes and the green innovation of the manufacturing industry. Accordingly, we should further improve the design of digital economy development and promote the development of the manufacturing industry.

DOES THE DIGITAL ECONOMY CHANGE THE RELATIONSHIP BETWEEN ECONOMIC GROWTH AND CARBON EMISSIONS? EMPIRICAL EVIDENCE FROM 278 CITIES IN CHINA

The rise of the digital economy has had widespread and profound impacts on the economy and society. Extensive literature exists on digital economy and carbon emissions. However, there is a lack of literature focusing on the impact of the digital economy on the relationship between economic development and carbon emissions. This paper examines whether the digital economy has changed the relationship between economic growth and carbon emissions using panel and spatial econometric modeling. Using a panel dataset of 278 prefecture-level cities in China for the period from 2011 to 2019, the results show that there is a significant inverted U-shaped relationship between economic growth and carbon emissions, which is consistent with the Environmental Kuznets Curve (EKC) model. Moreover, the digital economy brings the turning point forward. In terms of spatial decomposition effects, both direct and indirect effects of economic growth on carbon emissions are significant, suggesting that economic growth has a positive impact on carbon emissions both in local cities and in neighboring areas. Overall, these findings provide valuable policy insights for promoting the synergistic development of the digital economy and accelerating the transition to a low-carbon economy.

Digital transformation and enterprise financial asset allocation

ABSTRACT As a new factor of production, data is a new driving force for China’s economic development. Digital transformation is highly uncertain, and it is crucial to examine the impact of corporate digital transformation on the integration of digital and real economies. Using all non-financial Chinese A-share listed companies from 2012 to 2021 as the research sample, we investigate the impact of digital transformation on corporate financial asset allocation. The study finds that there is a significant inverted U-shaped relationship between digital transformation and defensive financial asset allocation and a significant positive relationship with profit-seeking financial asset allocation. The mechanism analysis shows that digital transformation impacts the allocation of defensive financial assets through the operational risk of enterprises and promotes the allocation of profit-seeking financial assets through the path of financing arbitrage. Furthermore, the impact of digital transformation on the enterprises’ financial asset allocation varies somewhat across property rights, regions, and industries. This finding has some implications for promoting digital transformation and guiding the real economy to transfer from fictitious to substantial.

Influence mechanism of industrial agglomeration on carbon emission intensity-a perspective on borrowing performance.

Under the background of urban connectivity, whether there are similarities and differences in the impacts of local industrial agglomeration and inter-city industrial agglomeration borrowing performance on carbon emission intensity(CI), and how cities can fully utilize the external force-borrowing performance to reduce local CI, these issues are of great significance for the cost saving and efficiency enhancement in the process of carbon emission (CE) reduction. Based on panel data of 280 prefecture-level cities in China from 2003 to 2020, the panel dual fixed-effect model, instrumental variable method, and adjustment effect model were used to analyze the impacts of the manufacturing agglomeration (MA), producer service agglomeration (PA), and the collaborative agglomeration (CA) on the CI from the perspective of individual cities and the urban system. The results showed that the influence of MA on CI presents a significant inverted U-shaped relationship, PA significantly reduces CI, and the CA of the two industries increases CI. Further analysis showed that the borrowing MA performance improves CI, especially in newer industrial-based cities, non-resource-based cities, and medium and big cities; the borrowing PA performance reduces CI, especially in old industrial-based cities, non-resource-based cities, and large cities; and the borrowing CA performance has no significant effect on CI. In addition, the development of the Internet strengthens the influence of borrowing performance in MA and PA on CI.

Effect of empowerment: how and when do high-involvement work practices influence elder employees' innovative performance?

In today's fast-paced business environment, innovation from elder employees is increasingly vital to organizations. High-involvement work practices that emphasize engagement and empowerment have a significant impact on the innovation performance of these employees, harnessing their wealth of experience and fostering organizational growth. However, most of the current research on innovation performance focuses on the single factor of the individual or the organization, and most of them focus on the linear relationship; research on the factor of human resource practices, in particular high-involvement work practices, is inadequate. Based on social exchange theory, this paper uses structural equation modeling (SEM) to examine the impact of high-involvement work practices on elder workers' innovation performance using 278 valid samples from three time points, and the non-linear effects of exploratory and exploitative innovation on elder workers' innovation performance. (1) There is no significant relationship between high-involvement work practices and elder employees' innovation performance. (2) Exploratory innovation has a significant U-shaped relationship with innovation performance, i.e., as the level of exploratory innovation increases, the innovation performance of elder employees first decreases and then increases. There is a significant inverted U-shaped relationship between exploitative innovation and innovation performance, i.e., as the level of exploitative innovation increases, innovation performance first increases and then decreases. High-involvement work practices have a U-shaped effect on elder employees' innovation performance through exploitative innovation. (3) Transformational leadership moderates the direct effects of high-involvement on exploratory innovation and elder employees' innovation performance, and transformational leadership moderates the U-shaped effect of high-involvement work practices on elder employees' innovation performance through exploratory innovation. The conclusion is helpful for organizations to enhance elder employees' innovation performance by enriching high-involvement work practices.

The effect of population ageing on technological innovation in emerging market countries

This study reveals a significant inverted U-shaped relationship between population ageing and technological innovation in emerging market countries. The research explores this relationship from two perspectives: religion and region. First, when analysing different groups based on the proportion of religious population, it is observed that both countries with a high and low proportions of religiously affiliated individuals exhibit a significant inverted U-shaped relationship between ageing and innovation. As for regional variations, the Southern hemisphere countries displayed a significant relationship, while the Eastern and Western hemispheres did not. Education and research and development (R&D) investment positively influence innovation, particularly in countries with a lower proportion of religious population. Conversely, economic development and foreign investment hinder innovation in countries with a lower proportion of religious population but have a positive effect in countries with a higher proportion of religious population. This study, through mechanism analysis, found that ageing also has an inverted U-shaped impact on technological innovation by influencing both labour supply and human capital investment. Previous research has not addressed the ageing population and technological innovation in emerging market countries. The analysis establishes a theoretical foundation for emerging market countries' governmental macroeconomic regulation.

Impact of China's digital economy development on the health of middle-aged and older people: an air pollution-based perspective.

China has shown good momentum on the road of digital economy development, however, it is also rapidly entering an aging society. Exploring the health effects of the digital economy is of positive significance for realizing healthy aging in China. This paper focuses on the relationship between the digital economy and the health of middle-aged and older people using microdata from the China Health and Retirement Longitudinal Study (CHARLS) 2011-2018 and macrodata from Chinese cities. The study found that the digital economy showed a significant inverted U-shaped relationship on the health of middle-aged and older people. The results of subgroup regressions indicated heterogeneity in this effect across gender, education level, urban/rural and region. Individual health in female, highly educated, and urban groups is more closely related to the digital economy. Middle-aged and old groups in the western region are better able to enjoy the dividends of the digital economy, while middle-aged and old groups in the eastern region are more negatively affected by the digital economy. In the lead-up to the development of the digital economy, individual health can be promoted by narrowing the urban-rural income gap and increasing basic medical resources, while in the later stage of the development of the digital economy, it manifests itself in inhibiting the level of individual health by widening the urban-rural income gap and lowering the level of basic medical resources. In addition, air pollution exhibits a positive moderating effect between the digital economy and individual health, suggesting that air pollution reinforces the impact of the digital economy on health. Expansive analyses indicate that the digital economy has a negative impact on physiological health.

How can small and medium-sized cities differentiate their carbon peaks?

China's ‘dual carbon’ strategy is of strategic importance in leading global climate governance and promoting China's high-quality and green economic development. Cities are the centres of human activities. However, these are also places where high energy consumption and high carbon emissions are concentrated. This study selected data from 192 small and medium-sized cities in mainland China for the period 2000–2020. It classified these into seven categories using the K-means clustering method, calculated the decoupling status of different types of small and medium-sized cities based on the Tapio decoupling index, and analysed the relationship between carbon emissions and economic growth in various types of small and medium-sized cities based on the EKC curve theory. Finally, the backpropagation neural network (BPNN) model was used to classify and predict the time required to achieve carbon peaking for seven types of small and medium-sized cities. The following conclusions were drawn: (1) The development status of small and medium-sized cities shows a ‘geese echelon pattern’. New dynamic small and medium-sized urban areas may reach peak carbon emissions first, while resource-based small and medium-sized urban areas may be the last to do so. (2) The decoupling of carbon emissions from industrial development in small and medium-sized cities has not been completed. This manifests mainly through the states of declining decoupling, absolute decoupling, and strong negative decoupling. (3) A significant inverted U-shaped relationship exists between economic development and carbon emissions in these cities. (4) These cities may have the disadvantage of premature or excessive de-industrialisation. Additionally, these generally have an inefficient and expansionary economic development status. Therefore, this study contended for a more robust integration of a radical political economy and ecological economics to support the development of such cities in China. The paper proposes differentiated development paths and fundamental recommendations for small and medium-sized cities in the implementation of the ‘double carbon’ strategy. The intention is to provide theoretical guidance and implications for promoting green and low-carbon development in urban and rural areas and for the early achievement of the strategy in China.

The inverted U-shaped relationship between weight loss percentage and cardiovascular health scores

PurposeObesity is a significant risk factor for cardiovascular disease; however, the impact of weight loss on cardiovascular health (CVH) in individuals with specific obesity patterns remains incompletely understood. The objective of our study was to investigate the relationship weight loss percentage and CVH scores across individuals with various obesity patterns.MethodsOur study utilized data from the National Health and Nutrition Examination Survey conducted between 2007 and 2018, involving a total of 12,835 participants aged 16 years or older, to conduct a cross-sectional analysis. Multiple linear regression and multinomial logistic regression methods were used to assess the correlation between the weight loss percentage and the CVH scores. Additionally, restricted cubic spline analysis was employed to examine the nonlinear relationship between the two variables.ResultsCompared to individuals with a weight loss percentage < 0%, participants with weight loss percentages of 0–5% and 5.1–10% showed improved CVH scores, with β values of 2.85 (95% CI 2.32–3.38) and 2.55 (95% CI 1.69–3.4), respectively. Regarding different obesity patterns, compared to participants with a weight loss percentage < 0%, participants with a weight loss percentage of 0–5% showed an increase in CVH scores in the normal weight and overweight/general obesity (OGO) groups, with β values of 1.45 (95% CI 0.7–2.19) and 1.22 (95% CI 0.46–1.97), respectively. Restricted cubic spline analysis revealed a significant inverted U-shaped relationship between the weight loss percentage and the CVH scores (with optimal CVH scores at 3%).ConclusionsThere was an inverted U-shaped relationship between weight loss percentage and CVH scores, with moderate weight loss (0–10%, optimal value of 3%) being associated with improved CVH scores, especially among individuals with OGO.Level VOpinions of respected authorities, based on descriptive studies, narrative reviews, clinical experience, or reports of expert committees.

Driving impact and spatial effect of the digital economy development on carbon emissions in typical cities: a case study of Zhejiang, China.

The digital economy (DE) not only drives economic innovation and development but also has significant environmental effects by promoting lower carbon emissions. To investigate the spatial effects of DE on urban carbon emissions, this study comprehensively measures the level of DE development based on the panel data from 11 typical cities in Zhejiang Province from 2011 to 2020, by comparing analysis using different regression models. The following conclusions are obtained: (1) The total carbon emissions (TC) of Zhejiang cities in general show a fluctuating change trend of first increasing and then slowly decreasing, while carbon emission intensity and carbon emission per capita in general show a fluctuating change trend of decreasing. Cities with high TC are primarily concentrated in the Hangzhou Bay city cluster, accounted for 62 ~ 65% of the province's carbon emissions. The development of the DE in Zhejiang cities shows steady growth, but there are large differences among cities, with Hangzhou and Ningbo standing out as particularly prominent. (2) There is a significant inverted U-shaped relationship between the DE and the level of carbon emissions in Zhejiang Province. The influence coefficient of the DE on the primary term of TC is 0.613, and the influence coefficient of the quadratic term of TC is - 1.008. (3) In terms of the spatial spillover effect of the DE on carbon emissions, the study finds that compared to the direct effect, the spatial spillover effect is not significant. However, the allocation of transport resources shows a positive spatial spillover effect (increasing carbon emissions, coefficient value is 0.138), while technological progress shows a somewhat negative spatial spillover effect (decreasing carbon emissions, coefficient value is - 0.035). (4) The study also finds that the smart city pilot policy significantly reduces urban carbon emissions. Moreover, the effect of the DE on carbon emissions is confirmed through the significance test of the quadratic term when replacing the geographical and economic distance weight matrices. This indicates that the empirical findings are robust to these tests. Finally, several countermeasures to reduce carbon emissions are proposed from the perspective of DE development.

Urban Comprehensive Carrying Capacity and Urbanization in Northeast China

The scientific evaluation and identification of the relationship between urban comprehensive carrying capacity and urbanization in Northeast China, a famous old industrial base, is an important basis for realizing the overall revitalization of the region. Using a panel data set of 34 prefecture-level cities in Northeast China from 2003 to 2019, this study constructs an ordinary panel data model to identify the relationship between urban comprehensive carrying capacity and urbanization. The results show that urbanization has significantly positive effects on urban comprehensive carrying capacity, and there is a significant inverted U-shaped curve relationship between urban comprehensive carrying capacity and comprehensive urbanization in Northeast China, especially in the shrinking cites. In addition, the economic urbanization variables of the fixed-asset investment, the total retail sales of social consumer goods, and the social urbanization variable of internet users play significantly important roles in forming of the inverted U-shaped curve relationship with the urban comprehensive carrying capacity of the shrinking cities in Northeast China. Hence, innovation-driven economic regrowth, promoting equalization of basic public services, alleviating talent outflow, and strengthening the leading roles of the core cities are effective measures for improving urban comprehensive carrying capacity and urbanization quality in Northeast China.

The Impact of Digital Economy Empowerment on Green Total Factor Productivity in Forestry

The digital economy is an important engine for promoting green economic development, and the integration of the digital and real economies can accelerate the transformation of the real economy. In order to explore the multifaceted influence of digital economy on forestry green total factor productivity and its specific presentation form, based on the panel data of 277 cities in China from 2013 to 2019, this paper first used the super SBM model to measure the level of forestry green total factor productivity and adopted the entropy method to measure the level of the digital economy in each region. Secondly, the influence and mechanism of the digital economy on green total factor productivity in forestry were explored by using fixed-effect and intermediate-effect models, and the heterogeneity of the digital economy on forestry green total factor productivity was analyzed based on different regional classification methods. Finally, the spatial spillover effect of the digital economy was explored in depth by the spatial Durbin model. The results are as follows: firstly, there is a significant inverted U-shaped relationship between the digital economy and forestry green total factor productivity, which first promotes and then inhibits. Secondly, the relationship between the digital economy and the level of urban green innovation shows a positive U-shaped relationship, first inhibiting and then promoting, and can have an indirect impact on forestry green total factor productivity by promoting the level of green innovation. Third, China is still on the left side of the inverted U-shaped relationship between the digital economy and forestry green total factor productivity, i.e., it is at a stage where the digital economy can significantly contribute to forestry green total factor productivity. Fourth, the effect of the digital economy on green total factor productivity in forestry is heterogeneous in the east, central, and west and is more pronounced in regions with faster economic development or rich natural resources. Fifth, the impact of the digital economy on forestry green total factor productivity has a significant positive spatial spillover effect.

Can Service Trade Effectively Promote Carbon Emission Reduction?—Evidence from China

Carbon emissions have become a global issue of increasing concern due to their detrimental impact on the environment. Efforts to combat rising emissions have been taken globally. Despite China’s commitment to globalization, policymakers have faced challenges in adequately addressing this pressing issue. This paper aims to fill this gap by exploring a specific aspect of international trade, namely service trade. We theoretically analyzed the impact of service trade on carbon emissions and then empirically examined the impact using panel data from 2009 to 2019 of 30 provincial regions in China. Specifically, a non-linear model was used to capture the direct effect, particularly the potential non-linear relationship; a mediating effect model was applied to investigate the indirect effects; and a panel quantile model was adopted to examine the heterogeneity of the impact across different levels of carbon emissions. The research revealed: (1) The impact of service trade on carbon emissions exhibits a non-linear characteristic with a significant inverted U-shaped relationship being evident, indicating that the development of service trade can ultimately contribute to carbon reduction; (2) service trade can directly impact carbon emissions through its scale effect, while mechanism analysis showed that service trade can indirectly affect carbon emissions through its technological and structural effects, with carbon emission reduction also relying on these mechanisms; (3) There is significant heterogeneity in the impact of service trade on carbon emissions across geographic regions and at different levels of carbon emissions in China.

The inverted-U influence of leader benevolence on extra-role customer service behavior

Leader benevolence is a leadership style pursued by enterprise supervisors, especially in enterprises rooted in Chinese Confucian culture. Based on reciprocity theory, this paper aims to explore the effect of team leader benevolence on employees’ extra-role customer service behavior through work effort and the moderating effect of contingent reward leadership. By analyzing data from 405 employees and 102 team supervisors in Chinese hospitality firms, the results show that leader benevolence has a significant inverted U-shaped relationship with employees’ work effort. Specifically, work effort mediates the relationship between leader benevolence and extra-role customer service behavior. The effect of leader benevolence on work effort is moderated by contingent reward leadership which in turn moderates the indirect effect of leader benevolence on extra-role customer service behavior through work effort. Aside from the contribution to leadership and organizational behavior literature, our conclusions and implications can also benefit hospitality firm managers and employees.

How does digital technology affect total factor productivity in manufacturing industries? Empirical evidence from China

Extensive studies have discussed the relationship between digital technology and total factor productivity (T.F.P.) in manufacturing industries, but far less attention is paid to the nonlinear relationship. Based on the panel data of China’s manufacturing industries and matching data of National Intellectual Property Public Service Network from 2000 to 2019, this article aims to explore how digital technology affects T.F.P. in manufacturing industries. The result demonstrates that a significant inverted U-shaped relationship is between digital technology and T.F.P. The threshold in high technology manufacturing industries is larger than that in low and middle technology manufacturing industries. With the progress of digital technology, the expenditure of technology and equipment upgrading is increasing. However, the marginal return of technology and equipment is decreasing, besides technology innovation. The case of China perhaps provides new insights into manufacturing industries in developing country to gain sustainable development.

Pollution Effect of the Agglomeration of Thermal Power and Other Air Pollution-Intensive Industries in China

With the rapid development of the Chinese economy, air pollution is becoming increasingly serious, which greatly impacts the lives and activities of people, and the spatial agglomeration of thermal power and other air pollution-intensive industries (TPAPIs) is an important factor. The purpose of this article is to find the air pollution-intensive industries scientifically, to analyze the effects of pollution from TPAPIs in China, and to provide a basis for the planning and adjustment of TPAPIs. In this study, an air pollution index was adopted to identify TPAPIs, a location quotient was employed to measure the agglomeration of TPAPIs in China, and the global Moran's I index was determined to examine the spatial agglomeration characteristics of these industries and the spatial characteristics of air pollution. On this basis, a spatial panel Durbin model describing atmospheric pollution was constructed. The pollution effects of the agglomeration of TPAPIs were examined in regard to spatial agglomeration and spillover effects. In the study, it was found that the agglomeration of TPAPIs in different regions of China exhibited a significant positive spatial correlation, and spatial dependence becomes increasingly notable. A significant inverted U-shaped relationship was found to exist between the spatial agglomeration of TPAPIs and air pollution, and thus the spatial agglomeration of TPAPIs imposes a significant spatial spillover effect on air pollution. Specific policy suggestions are proposed, such as the formulation of science-based policies targeting TPAPIs, promotion of interregional cooperation, establishment of a regional joint prevention and control mechanism, and effective elimination of the excess capacity of outdated TPAPIs.

A Study of the Spatial Mechanism of Financial Agglomeration Affecting Green Low-Carbon Development: Evidence from China

China has stepped into the assertive stage of transforming the economic development mode and economic growth momentum, while green and low-carbon development is undoubtedly the way to promote high-quality economic development in the new period. As the core of modern economic growth, the spatial scale concentration of finance plays a crucial role in the development of economic transformation. In this paper, the SBM-GML production index method was used to measure the green low-carbon development level of 30 provinces in China from 2003 to 2019. It also empirically examines the impact and effect of financial agglomeration on green low-carbon development from a two-dimensional perspective of time and space using a systematic generalized matrix and a spatial dynamic panel model. At the same time, the spatial spillover effects of financial agglomeration were measured using a partial differential approach combined with the mediating effect model to reveal the path of financial agglomeration on green low-carbon development. It was found that, firstly, financial agglomeration achieves green low-carbon, and high-quality development through economic growth, industrial structure upgrading, and technological innovation improvement. It also achieves the enhancement of green, low-carbon development through the dual improvement of green technological progress and green technological efficiency. Second, financial agglomeration can enhance the green low-carbon development of neighboring regions; the positive effect of financial agglomeration has a significant positive spatial spillover. Third, the relationship between financial agglomeration and green low-carbon development shows a significant inverted U-shaped relationship, i.e., short-term promotion and long-term inhibition; at present, financial agglomeration, as a whole, has not crossed the critical value but still has a promotional effect on green low-carbon development. Finally, this article points out that in order to effectively promote green, low-carbon development, China needs to continuously promote the formation and optimization of financial agglomeration and make concerted efforts in economic growth, industrial structure upgrading, and technological progress.