Total Factor Productivity Of Enterprises Research Articles

Industrial Chain Correlation and Total Factor Productivity

As a matter of fact, the total factor productivity, as a crucial metric for measuring the speed and quality of output in enterprises, plays a vital role in optimizing resource allocation and fostering the synergistic development of industries especially in recent years. With this in mind, this paper studies and investigates how the degree of industrial chain correlation affects the total factor productivity. By using the methods of benchmark regression analysis, robustness test, heterogeneity analysis and quantile regression, the empirical findings indicate that the impact of industrial chain connectivity on enterprise total factor productivity follows a "U"-shaped distribution and remains robust. Furthermore, its influence varies among enterprises with different ownership structures as well as production factor intensities according to the analysis. At the same time, the panel quantile regression reveals that the effect of industrial chain connectivity on enterprise total factor productivity differs across firms with varying levels of total factor productivity.

Accountability audit of natural resources and total factor productivity—Evidence based on Chinese listed companies

Based on a natural event, namely a pilot accountability audit of natural resources conducted by local officials in 2014, this study empirically investigates the impact of the pilot on the total factor productivity (TFP) of enterprises. The study utilizes the Differences-in-Differences model with an observation window spanning from 2012 to 2015. The findings indicate a significant reduction in the total factor productivity of enterprises in the pilot area due to the implementation of the pilot program. The study identifies that this impact is primarily driven by increased production costs and decreased investment. Further analysis reveals heterogeneity in the effects, with regions characterized by low levels of economic development, distortions in the production element market, low competition in industries, heavy asset-intensive industries, large enterprises, and absolute holding enterprises experiencing a more pronounced impact of the audit on total factor productivity. Overall, this study sheds light on the influence of accountability audits of natural resources on the real economy and offers valuable insights for policymakers.

The Impact of ESG Performance on Total Factor Productivity of Enterprises -- Based on Signal Transmission Theory

The Impact of ESG Performance on Total Factor Productivity of Enterprises -- Based on Signal Transmission Theory

A Study of the Impact of Government Subsidies on the Total Factor Productivity of Enterprises

A Study of the Impact of Government Subsidies on the Total Factor Productivity of Enterprises

Research on the Influence of Human Capital and Financing Constraints on the Manufacturing Enterprise Total Factor Productivity

Research on the Influence of Human Capital and Financing Constraints on the Manufacturing Enterprise Total Factor Productivity

Digital Transformation and Green Total Factor Productivity of Chinese Listed Companies: Evidence from Academic Perspective

Digital transformation and green total factor productivity are important measures to implement the dual carbon strategy and promote the high-quality development of enterprises. Based on micro-level data from listed companies from 2011 to 2021 and matched with text data containing digitalization keywords, this article examines the effects of corporate digital transformation on green total factor productivity. The study found that digital transformation significantly improves the green total factor productivity of enterprises, and this result holds even after robustness tests and the inclusion of control variables such as variable substitution, fixed effects interaction, double-cluster robust standard errors, and added control variables. The research in this article enriches the study on the economic consequences of digital transformation for real-world enterprises and the factors influencing green total factor productivity of enterprises. It provides valuable references for driving enterprises from traditional factor-driven to innovation-driven approaches based on green orientation.

Research on the impact of manufacturing virtual agglomeration on green total factor productivity of enterprises under the Sustainable Development Goals.

Virtual agglomeration of manufacturing has become a new driving force for improving the green total factor productivity of enterprises, which is of great significance in achieving the sustainable development of manufacturing enterprises and the construction of manufacturing power. This paper clarifies the connotation, model, and characteristics of manufacturing virtual agglomeration. Based on the five dimensions of virtual agglomeration platform, digitization of subjects, data center, virtual cooperation network, and logistics service, this paper constructs an index system for the manufacturing virtual agglomeration. Entropy weight method was used to measure the level of manufacturing virtual agglomeration from 2012 to 2021. Furthermore, this paper analyzes and tests the influence mechanism of manufacturing virtual agglomeration on the green total factor productivity of enterprises. This paper finds that manufacturing virtual agglomeration improves the green total factor productivity of enterprises, which shows a nonlinear relationship. The mechanism test results show that manufacturing virtual agglomeration improves the green total factor productivity of enterprises by accelerating green technology innovation, forming a scale economy, and reducing transaction costs. The heterogeneity analysis shows that the promotion effect of virtual agglomeration in manufacturing on the green total factor productivity of enterprises is affected by the property rights and scale of the enterprise.

Does the performance of financial policy improve the total factor productivity in the competition?——Empirical evidence from Chinese listed companies

China's state-owned enterprises have obvious advantages in financing due to factors such as administrative industry monopoly and government subsidy bias, resulting in a significant imbalance between state-owned enterprises and private enterprises in the allocation of social capital in China. This study focused on the impact of resource allocation in the financial field on the total factor productivity of enterprises, and conducted an empirical analysis with the 2020 novel coronavirus outbreak as the critical public health event, and found that the competitive neutrality of financial policy had a significant positive effect on improving the total factor productivity of Chinese enterprises.

The influence of non‐financial enterprises' financialization on total factor productivity of enterprises: Promotion or inhibition?

AbstractIn recent years, the increasing trend of financialization of non‐financial enterprises and the improvement of total factor productivity (TFP) have attracted extensive attention. The research sample for this study covers non‐financial firms listed on the Shanghai and Shenzhen stock exchanges from 2008 to 2020. Then an econometric regression model is built to examine the impact of financialization of non‐financial enterprises on enterprises' TFP. The mediation effect model is used to investigate the mechanisms of non‐financial enterprises' financialization (NFEF) on TFP. The heterogeneity in investment efficiency, property rights and political affiliation is further discussed. The findings show that the NFEF has a considerable negative influence on enterprises' TFP, which still stands after endogenous treatment and a series of robustness tests. Moreover, NFEF significantly inhibits TFP by crowding out R&D investment and significantly promotes TFP by alleviating financing restrictions. Both the ‘crowding‐out effect’ and ‘reservoir effect’ of financialization of non‐financial enterprises are verified, and the former is greater. The influence of NFEF on TFP has the heterogeneity in investment efficiency and political affiliation, but the heterogeneity in property rights is insignificant.

CEO stability and enterprise total factor productivity from the perspective of dual carbon: a mechanism test based on green innovation

PurposeThrough this study, the aim is to provide reference for the improvement of CEO related theories, the reform of internal governance mechanisms and compensation systems in enterprises, and ultimately contribute to economic and social development and the achievement of dual carbon goals.Design/methodology/approachIn the context of accelerating the implementation of the “dual carbon” goal and promoting sustainable economic and social development, this paper builds a panel data model based on the panel data of 31 provinces in China from 2011 to 2019 to empirically test the impact of CEO stability on green innovation and total factor productivity of enterprises.FindingsThe results show that CEO stability has a positive role in promoting enterprise total factor productivity and green innovation and enterprise green innovation also has a positive role in promoting total factor productivity; Heterogeneity testing found that CEO stability has no significant impact on green innovation in state-owned enterprises. Corporate green innovation has a partial mesomeric effect between CEO stability and total factor productivity; The proportion of independent directors has a negative moderating effect on CEO stability and corporate green innovation, while equity incentive has a positive moderating effect on the relationship between CEO stability, corporate total factor productivity and green innovation.Originality/valueFirst, it develops the research on CEO stability and its economic consequences. Second, it expands the impact of CEO stability on heterogeneous enterprises. Third, provides new ideas for the reform of internal governance mechanism and salary system of enterprises.

COVID-19, Financing Constraints and Total Factor Productivity of Enerprises

<p class="MsoNormal" style="text-align: justify;">As the COVID-19 epidemic swept the world in early 2020, it is worth watching how it affects the total factor productivity of enterprises. Based on the theory of information asymmetry and the data of A-share listed companies from 2014 to 2021, this paper conducts an empirical study on the relationship between COVID-19 and the total factor productivity of enterprises. The results show that the impact of the COVID-19 epidemic can significantly reduce the total factor productivity of enterprises, and the conclusion is still true after a series of robustness tests. Taking the financing constraint as an intervening variable, it clearly reveals a transmission mechanism, that is to say, the impact of the COVID-19 epidemic exacerbates the financing constraint of the enterprise, thus it makes the total factor productivity of the enterprise reduce. It is further found that the above effects are more obvious for small and medium-sized enterprises and non-intelligent enterprises. Based on this, the government should implement some active economic development policies to create a free, relaxed and orderly market environment for enterprise financing. At the same time, enterprises should not only pay attention to digital and intelligent development, and transform into technology-intensive enterprises, but also strengthen the awareness of worry. Enterprises should store "more grain" for preparing for the cold winter.</p>

Digital transformation and total factor productivity

This study investigates the influence of digital transformation on total factor productivity of enterprises, along with the mechanisms driving this impact. The results suggest that innovation in digital technology can increase total factor productivity. Heterogeneity analysis reveals that this effect is particularly favorable in state-owned enterprises. Moreover, the study of mechanisms uncovers that digital transformation can enhance corporate innovation. Our findings provide timely policy implications for governments concerning digital transformation.

Does the implementation of green finance regulation promote the high-quality development of enterprises? Evidence from a quasi-natural experiment in China.

The improvement of enterprise total factor productivity and labor productivity is the micro-embodiment of high-quality economic development. Green finance relies on the dual functions of resource allocation and environmental regulation to guide enterprises to adjust their mode of operation through incentive and restraint mechanisms, attach importance to energy conservation and environmental protection, and guide enterprises to develop with high quality. Taking the construction of the green financial supervision system in 2016 as a quasi-natural experiment, we constructed a difference-in-difference model to investigate the impact and mechanism of green finance on the high-quality development of enterprises, based on the panel data of Chinese A-share listed companies from 2006 to 2020. The results show that the implementation of green finance effectively promotes the high-quality development of enterprises. This promotion effect is heterogeneous from perspectives of enterprise-specific characteristics, executive education background, and environmental regulation intensity. The influence mechanisms mainly rely on tightening financial constraints, upgrading the level of green technology innovation, and improving the quality of internal control. These findings provide an important decision-making reference for better implementing green finance policies and promoting high-quality economic development under the green and low-carbon concept and carbon peak carbon neutrality goals.

Entrepreneurship and Export Product Quality Improvement

Entrepreneurship is the sustainable driving force and stable source of economic development, and it is an important guarantee for the continuous improvement of export product quality and high-quality economic development. This paper selects entrepreneurship and export product quality as research objects. It measures the export product quality at the enterprise level using data from the China Industrial Enterprise Database and the China Customs Import and Export Trade Database. Furthermore, based on matching entrepreneurship at the macro-level and the export product quality at the micro-level, the impact and mechanism of entrepreneurship on the export product quality are empirically examined. It was found that entrepreneurial innovation and entrepreneurship further significantly contribute to the improvement of export product quality by promoting the total factor productivity of enterprises. Entrepreneurial innovation and entrepreneurship do not significantly contribute to the export product quality of state-owned and collective enterprises, while they significantly contribute to privately-owned, independent legal entities, Hong Kong–Macao–Taiwan, and foreign-funded enterprises. Furthermore, the promoting effect on privately-owned and independent enterprises is greater than that on Hong Kong–Macao–Taiwan and foreign-funded enterprises. Further analysis shows that improving the rule of law, reducing excessive government intervention, and improving the market mechanism for products and production factors, as well as vigorously developing the non-state-owned economy, will all be conducive to the cultivation and development of entrepreneurs and better promotion of the improvement of export product quality.

Industrial robots and firm productivity

Industrial robotics has become a driving force in the development of high-quality manufacturing enterprises. This paper investigates the impact of industrial robotics on the total factor productivity of enterprises and its mechanism of action through the use of data from A-shares of Chinese companies listed on the Shanghai and Shenzhen exchanges from 2007 to 2019. We found that the use of industrial robots significantly increases the total factor productivity of enterprises, findings that still hold when Bartik instrumental variables are constructed. The mechanism of action suggests that industrial robot application improves both the human capital structure and the innovation capability of enterprises, thus increasing total factor productivity. Heterogeneity analysis shows that industrial robot applications are more likely to increase total factor productivity in firms that are non-state-owned and small scale and have political affiliations, low market concentration, low financialization, and high managerial competence. The findings of this study will help to accurately assess the productivity effects of industrial robotics, and the government should continue to promote the integration of industrial robotics and manufacturing development and actively cultivate independent innovation capabilities and professional skills in the field of industrial robotics in order to increase total factor productivity in enterprises.

Artificial Intelligence and Green Total Factor Productivity: The Moderating Effect of Slack Resources

With the emergence of the digital economy, digital technologies—such as artificial intelligence (AI)—have provided new possibilities for the green development of enterprises. Green total factor productivity is a key indicator of green sustainable development. While traditional total factor productivity does not consider the constraints of natural resources and the environment, green total factor productivity remedies this deficiency by incorporating environmental protection indicators, such as pollutant emissions, into the accounting system. To further clarify the relationship between AI technology and corporate green total factor productivity, this study uses a two-way fixed effects model to examine the impact of AI technology on the corporate green total factor productivity of A-share listed companies in China from 2013 to 2020 while examining how corporate slack resources affect the relationship between the two. The results show that the AI application positively contributes to the green total factor productivity of enterprises. Meanwhile, firms’ absorbed, unabsorbed, and potential slack resources all positively moderate the positive impact of AI technology on firms’ green total factor productivity. This study offers a theoretical basis for a comprehensive understanding of digital technology and enterprises’ green development. It also contributes practical insights for the government to formulate relevant policies and for enterprises to use digital technology to attain green and sustainable development.

Resource curse, economic efficiency and green recovery based on three-subject framework

We examine the effects of environmental resources policy on enterprises total factor productivity (TFP), based on data of manufacturing companies from 2008 to 2017 and a three-subject framework of central government, local governments, and enterprises. A difference-in-differences assessment strategy is constructed using China's new environmental protection law as a quasi-natural experiment for the regulatory environment. The results show that the new Environmental Protection Law can promote enterprises TFP. And after performing multiple robustness tests, the results remain significant. We then explore the heterogeneous effects of enterprise political resources and find that there is a “political resource curse” effect in Porter hypothesis, i.e. stringent environmental regulations cannot promote the TFP of enterprises with political resources. Local government political connections may have led to a “political resource curse” effect, rather than central government. This article accordingly proposes targeted policy recommendations to improve the total factor productivity of enterprises and promote national economic development.

Quality of Mandatory Social Responsibility Disclosure and Total Factor Productivity of Enterprises: Evidence from Chinese Listed Companies

This study attempts to determine whether improving the quality of mandatory corporate social responsibility (CSR) information disclosure can have a positive impact on a firm’s development. To this end, an empirical analysis is conducted to establish a relationship between the quality of mandatory CSR information disclosure and a firm’s total factor productivity (TFP), using data from A-share listed companies in China over the period 2009–2020. The results show that: (1) Improving the quality of mandatory CSR disclosure leads to a significant increase in a firm’s TFP. (2) By alleviating a firm’s financing constraints and agency costs, the improved quality of mandatory CSR disclosure effectively enhances the firm’s investment efficiency and innovation capacity, leading to higher TFP. This research extends the influence of CSR disclosure on the economic development outcomes of Chinese firms, and provides theoretical guidance for the development and improvement of CSR disclosure mechanisms in emerging economies.

Digital Transformation, Service-Oriented Manufacturing, and Total Factor Productivity: Evidence from A-Share Listed Companies in China

Promoting corporate total factor productivity is important content for high-quality development in the manufacturing industry. Under the background of digitalization, probing whether digital transformation affects corporate total factor productivity is worth further study. We investigate the digitalization level of China’s listed manufacturing companies from a micro perspective using text analysis methods and empirically study whether and how corporate digital transformation affects its total factor productivity. We reveal that: First, moderate digital transformation improves the total factor productivity of manufacturing firms significantly, and there is a nonlinear inverted U-shaped effect between them, which is robust across different methods of measuring digital transformation and TFP and samples and passes the sensitivity analysis. Second, mechanism examination verifies that the promotion effects that digital transformation provides on corporate total factor productivity is mainly through promoting service-oriented manufacturing, technological innovation, and enterprise-scale effect. Third, that promotion effect is more intensified when the company is state-owned, or the company is non-key pollution monitored. Finally, with the deepening of digitalization, its positive promotion effect on corporates’ total factor productivity varies—showing a significant threshold feature, which is much stronger when the degree is lower than the critical value. This paper argues that digitalization has a marginal decreasing boosting effect on enterprise total factor productivity after reaching a certain degree. The study plays an important role in guiding the current promotion of enterprise digital transformation.

Digital finance and enterprise financing constraints: Structural characteristics and mechanism identification

Using the panel data of A-share listed companies from 2011 to 2020, we demonstrate that the WW index can characterize the level of enterprise financing constraints in China more effectively. We investigate the effect of regional digital finance (DF) development on enterprise financing constraints. This study found that DF can significantly alleviate enterprise financing constraints, and the effect is greater for small and medium-sized enterprises (SMEs) and private enterprises. DF can partially correct the size discrimination and ownership discrimination of traditional finance on private SMEs, as well as the mismatch of financial resources. Further, the results revealed that DF can alleviate information asymmetry in the securities market and between banks and enterprises and improve the external financing capabilities of enterprises. Moreover, DF can increase the enterprise's total factor productivity (TFP) and optimize the internal financing capacity of enterprises. Overall, DF will significantly ease enterprise financing constraints.