Contemporary Finance & Economics

Review of Wei Xinghua's Economic Thought: Main Contents, Features and Contemporary Value

XU Shu-yun, LI Jian-jian

2020, 0(6): 3-13.

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A large number of outstanding Marxist economists have emerged during the process of the development of socialist practice in China. They have continuously pioneered, innovated and created a number of theoretical achievements with Chinese characteristics and Chinese style, laying the foundation for the continuous innovation and development of Marxist economics, which has enriched the development history of Marxist economics. Professor Wei Xinghua is an authoritative expert in the field of Marxism studies in China. He has been devoted to the study of Marxist economics and socialist economic theory and practice with Chinese characteristics for nearly 70 years, and has made outstanding contributions to the development of Marxist political economics. Wei Xinghua's economic thought covers a very rich content, including the study of the basic principles of Marxist economics, the study of the socialist economic theory with Chinese characteristics, and the thinking of the new development concept in the new era. Wei Xinghua's economic thoughts show the characteristics of sticking to the position of Marxist economic theory, bravely discriminating the right and wrong issues of the major economic theories, paying attention to the major issues of socialist reform and development, sticking to the practice of economic development, and grasping the pulse of the times. The contemporary value of Wei Xinghua's economic thought is mainly reflected in three aspects: promoting the construction of the theoretical system of socialist political economics with Chinese characteristics, providing a theoretical basis for China's socialist economic reform and practice, and making outstanding contributions to the construction and development of the discipline of political economics.

Institutional Innovation and Scientific and Technological Innovation: An Analysis of the Bilateral Effects of Administrative Examination and Approval System Reform

CHEN Xiao-dong, HUANG Xiao-feng

2020, 0(6): 16-27.

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Based on the hand-collected data of the establishment time of prefecture-level municipal administrative approval centers and the urban innovation index data which can reflect the quality of innovation, this paper uses the two-tier stochastic frontier analysis (SFA) model to analyze the impact of administrative approval system reform on China's urban scientific and technological innovation from the two perspectives of innovation incentive effect and survival squeeze effect. The results show that: The innovation incentive effect can make the actual level of urban scientific and technological innovation higher than the benchmark level by about 25.34%, while the survival squeeze effect can make the actual level of urban scientific and technological innovation lower than the benchmark level by about 25.07%. The final reform of the administrative approval system reform has a positive combined effect on the level of China's urban scientific and technological innovation, which makes the actual level of scientific and technological innovation higher than the benchmark level by about 0.26%, and the above effects show significant spatial-temporal heterogeneity. Urban innovation environment plays a very important role of regulation in the process. The net effect of administrative approval system reform on urban scientific and technological innovation in China is greater in areas with better innovation environment. Therefore, local governments should focus on the improvement of the urban innovation environment and stimulate the innovative vitality of the enterprises.

How Fiscal Subsidies Affect Corporate TFP? Also on the“Moderate Range”of Fiscal Subsidies for the Manufacturing Industry

HU Chun-yang, WANG Zhan-xiang

2020, 0(6): 28-41.

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Taking fiscal subsides as a kind of catalyst introduced into production function to construct an output-fiscal subsidy model, this paper analyzes the internal mechanism and path of the effect of fiscal subsidies on TFP from the two dimensions of technical efficiency and technological progress. It also makes use of the data of the listed companies in China's manufacturing industry from 2010 to 2018 to conduct an empirical analysis of the source of the impact of fiscal subsides on corporate TFP. The findings show that fiscal subsidies can improve the TFP of enterprises through corporate technological efficiency (not technological progress), and this effect has heterogeneity in different samples. The results of further research show that fiscal subsidies have a greater and more significant effect on the technical efficiency of non-state-owned enterprises, and the effect on the enterprise in the central region is greater than that on the enterprises in the western and northeastern regions. Meanwhile, if the threshold model is adopted to investigate the heterogeneity of the effects under different strengths of fiscal subsidies and the notion of the“moderate range”of fiscal subsides is proposed, fiscal subsidies can play a promoting role both in technical efficiency and in technological advances when the rate of fiscal subsides is at the point of [0.018,0.023], at that time the latter is also significant. Therefore, it is suggested that the promoting effect of fiscal subsides on technical efficiency should be strengthened, the allocative efficiency of fiscal subsides should be improved, and the fiscal subsides should be transformed from general to specific.

A Study of Strategic Interaction of Regional Trademark Administrative Protection

LIAO Zhi-dong, YAO Feng-min

2020, 0(6): 42-53.

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From the perspectives of administrative contract system and political promotion competition, this paper analyzes the formation logic of the strategic interaction in terms of trademark administrative protection among provincial regions. Then based on China's provincial panel data from 2001 to 2017, it employs a spatial econometrics model to identify the types of strategic interaction of the administrative protection of trademarks. The findings indicate that in terms of trademark administrative protection, from 2001 to 2010, there is no strategic interaction of mutual imitation among provincial regions in China, but from 2011 to 2017, there is strategic interaction of mutual imitation among provincial regions in China. After changing the performance indicators of trademark administrative protection and considering the endogeneity of the control variables, the estimation results show that the research conclusions are robust. This means that we can further strengthen the formation logic for the strategic interaction of the administrative protection of trademark at provincial regions and give full play to the effect of“top competition”of trademark administrative protection at provincial regions to improve the performance level of trademark administrative protection, so as to promote corporate innovation and high quality economic development.

Strategic Choices of Corporate Shareholdings with Financial Institutions and Capital Structure Optimizing Adjustment

XIA Zi-hang, XIN Yu

2020, 0(6): 54-68.

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From the perspective of the internal capital market and taking the A-share mainboard non-financial listed companies in Shanghai and Shenzhen from 2006 to 2015 as research samples, this paper empirically investigates the impact of strategic choices of corporate shareholdings with financial institutions on the optimization and adjustment of capital structure. The findings show that the strategy of corporate mixed shareholdings with financial institutions would slow down the speed of capital structure adjustment, and this effect is more obvious in the over-indebted enterprises; when enterprises choose the strategy of holding shares with a number of non-bank financial institutions, the slowing down of capital structure adjustment speed is most significant. Further study shows that the shareholding strategy of“bank+non-bank”is conductive to reducing the negative effects on the operation risks of listed companies resulted from capital structure adjustment. Therefore, under the policy guidance of “lowering leverage, reducing liabilities and controlling risks”, it is necessary for the regulatory authorities to strengthen the supervision of the behaviors of mixed shareholdings with financial institutions in the enterprises with excessive liabilities. As for the enterprises, they need to promote the cooperation between themselves and financial institutions and optimize the relevant governance structures, to improve their ability to adjust the capital structure, and to prevent the capital structure of the entity enterprises from operational risks and financial risks caused by the deviation from the actual target requirements.

Constructing a Science and Technology Ecological Supervising System to Solve the Compliance Problems of Financial Institutions

WU Li-ju, WEI Lin

2020, 0(6): 69-78.

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The rapid development of the new economy has accelerated the application of regulatory technology in the compliance of financial institutions, but the technology itself has not fundamentally eased the game conflict between the regulatory side and the compliance side, nor changed the passive compliance mode of financial institutions. The application of regulatory technology in the compliance of financial institutions can achieve closed-loop feedback of information and iterative upgrade of the functions, promote the transformation of financial institutions' compliance from endogenous passive compliance with external constraints to active compliance with enhanced risk prevention and control, and gradually shift to higher level advantageous compliance of escort strategy. In the context of the interactive effects of new technologies, regulatory technology has become a self-contained environment. A healthy ecological relationship can enhance the synergy between financial institutions and regulatory agencies. A good technical ecological environment and working mechanism can help financial institutions return to their business roots and actively embrace the compliances. The process of constructing an ecosystem of regulatory technology is in itself an in-depth application process at the compliance side, and is also the process to help financial institutions solve compliance problems.

The Cross-Level Impact of Workplace Exclusion on Work-Family Conflicts: An Empirical Study of China's Hotel Industry

DONG Xia, CHEN Rui, MA Jian-feng

2020, 0(6): 79-89.

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As an important source of stress, workplace exclusion may have an impact on employees' family fields, researches in this area are relatively scarce, and the cross-level researches are even rarer. Based on the resource conservation theory, this paper tries to explore the impact of team-level workplace exclusion on individual-level work-family conflicts. Through a questionnaire survey of 229 front-line service personnel from 67 work teams in 13 hotels at three points of time, an analysis is done. The results show that team-level workplace exclusion can have a significant positive impact on employees' work-family conflicts, that workplace exclusion can lead to work-family conflicts through giving rise to emotional exhaustion of employees, and that employees' unfavorable interpersonal sensitivity plays a significant moderating role in the relationship between workplace exclusion and employees' emotional exhaustion, namely, as for the employees with unfavorable interpersonal sensitivity, workplace exclusion has a stronger stimulation effect on employees' emotional exhaustion.

A Review of the Researches on the Key Influencing Factors in Corporate Innovation Behavior: From the Perspective of Enterprises, Market and Government

YANG Dan

2020, 0(6): 90-100.

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As the key microcosmic bodies in the national and regional innovation systems, enterprises have made their innovation behaviors and the determining mechanism the key topics in academic circles. Following the basic train of thought from micro to macro, this paper reviews the main research results in this field in recent years from the three aspects: corporate heterogeneity, market heterogeneity and macro policy and institution. In general, the influencing factors of corporate R&D behaviors mainly include the financial situation of the enterprises, corporate governance and executives' personal characteristics at the firm level; the competition structure, development level and governance mechanism at the market level; and the macro policies, government intervention, intellectual property protection and other relevant laws and regulations at the government level. However, as to the specific functioning mechanisms, there are many inconsistencies and even contradictions existing in the current literatures. Therefore, in the future researches, attention should be paid to the following points: firstly, it is necessary to further strengthen the determination of research scenarios and research hypotheses, so as to improve the reliability and applicability of research conclusions; secondly, attention should be paid to the business model reconstruction brought by new technologies such as big data and artificial intelligence, the economic management logic and technical logic should be integrated organically, so as to avoid using economic and management theory alone to deduce the internal decisions of corporate R&D behaviors; thirdly, it is necessary to strengthen the investigations and interviews in the front-line practice and the studies of typical cases, so as to avoid pure logical deduction or large sample analysis that lack of practical investigation and survey.

Business Environment, Debt Source and Financing Discrimination：An Empirical Research from the Perspective of Contract Heterogeneity

YANG Chang, BAI Xue-jie, ZHAO Yang

2020, 0(6): 101-113.

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According to the layout requirements of the Central Committee of the Communist Party of China about“deepening supply-side structural reform in the financial sector”, this paper analyzes the influencing mechanism of the business environment on the source of corporate debt and financing discrimination from the perspective of contract heterogeneity; meanwhile it uses big sample data of manufacturing enterprises in China and builds a control group to conduct a multi-angle microscopic empirical analysis. The findings show that under information asymmetry, the improvement of regional business environment can be achieved through reducing the risks of debt default and making up the incompleteness of contract to affect the source structure of corporate debt. More guaranteed bank loans will gradually replace commercial credit which is biased towards informal contracts. This effect will be different because of the characteristics of industrial heterogeneity. The results of further study indicate that the optimization of regional business environment would make the finance resources from formal channels, such as bank loans, flow to SMEs and non SOEs, which can alleviate financing discrimination problems and improve the utilization efficiency of the financial resources. Therefore, to promote the business environment is a significant means to improve the credit structure of regional banks, to promote the economic development of SMEs and non SOEs, and to boost industrial upgrading.

Research on the Measurement of Servitization Level of China's Manufacturing Export: From the Perspective of Global Value Chain

YIN Wei-hua

2020, 0(6): 114-125.

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This paper makes use of the WIOD date to decompose the service factor (including the service factors inside and outside of the border) value contained in China's manufacturing export from 2000 to 2014, thereby it makes an analysis of the level of servitization of manufacturing export. The findings indicate that the level of servitization of China's manufacturing export is generally improving steadily, which means that the service factors are playing a more and more important role in manufacturing export. Compared with the developed economies, like USA and Japan, the level of servitization of China's manufacturing export is relatively lower. The domestic servitization level of manufacturing export is significantly higher than the overseas servitization level, while the overseas servitization level is easier to be affected by global financial crisis. If the impact of global financial crisis is removed, the ratio of the servitization levels of China's manufacturing export both at home and abroad will present a significant upward trend, which means that a weak sign can be found on the dominating position of the domestic service factors. Relatively speaking, the level of servitization of China's high-tech manufacturing export is the highest, while the level of servitization of China's low-tech manufacturing export is the lowest. In recent years, the level of servitization of China's low-tech manufacturing export has been improved at a faster speed, while the level of servitization of China's high-tech manufacturing export has been improved at a slower speed. Although the overseas servitization level of China's high-tech manufacturing export is the highest, its domestic servitization level is relatively lower, therefore, to improve the domestic servitization level of China's high-tech manufacturing export is the key to breaking up the blockade on service technology by the advanced economies.

Debt Distribution, Subsidiaries' Diversification and Cost of Debt Financing

WANG Long-feng, MA Zhong, SHU Guang

2020, 0(6): 126-137.

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In the context of the independent financing of the subsidiaries under the authorized operation mode, this paper analyzes and tests the influence of the distribution of debt financing between parent companies and the subsidiaries on the costs of the combined whole debt financing of the listed company. The findings show that the higher the proportion of debt financing undertaken by the subsidiaries, the higher the cost of the combined overall debt financing of the listed companies will be. Further research finds out that the higher degree of industrial diversification and geographical diversification of subsidiaries will strengthen the positive correlation between the proportion of debt financing undertaken by subsidiaries and the cost of the combined overall debt financing of the listed companies. The supervising effect of the parent company appointing senior executives to subsidiaries and the insurance effect of the parent company providing financing guarantee for subsidiaries can both alleviate the positive correlation between the proportion of debt financing undertaken by subsidiaries and the cost of the combined overall debt financing of the listed companies.

“Taking Advantage of an Inside Track”or“Seeking Far and Neglecting the Near”: The Influence of Independent Directors' Geographical Distance on the Degree of Hollowing-Out

FAN Li-bo, SHANG Duo

2020, 0(6): 138-148.

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Taking A-share listed companies in Shanghai and Shenzhen stock exchanges from 2009 to 2017 as samples, this paper manually collects the information of the residence of independent directors and empirically tests the relationship between the geographic distance of independent directors and the degree of hollowing out. The findings show that the geographic distance of the independent directors and the degree of hollowing out have a “U-shaped” relationship, and this “U-shaped” relationship is more prominent in private enterprises. The media attention and the marketization can weaken the“U-shaped”relationship between the two. The results of further study show that the collusion behavior of short-distance independent directors and the information disadvantage of long-distance independent directors play a part of the intermediary role in this “U-shaped” relationship. The opening of high-speed train can alleviate the information disadvantage of the long-distance independent directors.

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