Table of Content

15 March 2023, Volume 0 Issue 3

Previous Issue    Next Issue

Theoretical Economics

Elegant Books Overflowing: Urban Public Library Construction and Innovative Knowledge Spillover

SONG Li-juan, YU Yong-ze

2023, 0(3):  3-14. 

Asbtract ( 134 )  

References | Related Articles | Metrics

In the innovation culture system, libraries are the main force in carrying out original innovation in frontier fields, and they are also an important supplier in the technology element markets. Innovative subjects can obtain more tacit knowledge in library cultural exchanges, so as to have better performance in activities such as industrial research and development and technology spillover. This paper uses the patent citation data of urban public libraries and industrial enterprises to conduct an empirical study. The findings show that the knowledge services offered by urban public libraries can play a significant role in promoting the innovation knowledge spillover of industrial enterprises, which is manifested in increasing the number of patent citations of enterprises in their cities. This spillover effect is more pronounced in the eastern region, in large cities, and in large enterprises. The spillover effect of innovative knowledge brought about by the construction of urban public libraries is mainly realized by the following two mechanisms on the one hand, the knowledge agglomeration function of public libraries has promoted the cooperation among industries, universities and research institutions, then the spillover of innovative knowledge is brought about; on the other hand, the construction of public libraries can improve the level of public services and bring about the inflow of human capital, thus realizing the spillover of innovative knowledge. In addition, the development of the Internet has further strengthened the knowledge spillover effect of urban public libraries.

Economic Justice, Digital Capital and Institution Shaping

WU Xi-feng, DU Yan-lin

2023, 0(3):  15-27. 

Asbtract ( 136 )  

References | Related Articles | Metrics

Digital capital is a new form of capital formed by the close integration of capital and data, and its essence is that capital uses technology to privatize the most critical means of production (data) in the digital economy. Economic justice is the inevitable product of economic changes in the era of digital economy, and the expression of the value of the political states regulating digital capital, which possesses an independent existing status and a unique value function, being able to expand and enrich the consumer-centered rights types and content systems. On the journey of Chinese modernization, China will not only develop the digital economy and use digital capital, but also strive to achieve economic justice. The value positions of the two are different, the tension is objectively existed, which is an important problem that must be solved properly in the process of China’s high quality development. To solve this problem by the institution is a more stable and feasible way. The analysis from the perspective of institutionalism shows that digital capital has institutional plasticity, and its development mode does not depend on the capital itself, nor is it the only one, it is vitally depending on the institutional shaping of the country. Therefore, China can build a“four-dimensional”institutional shaping system jointly formed by the legal system composed of the basic political system, the digital economy value system, and the people-centered digital economy and the government-led technical specification system, which can not only effectively relieve the tension, but also make the digital capital return to the essence of socialism in the continuous good system shaping process.

Public Economics & Administration

The Coordination between Fiscal and Monetary Policies under the Macroeconomic Governance System: An Analysis from the Dual Perspectives of Fiscal Policy Intensity and Structure

JIN Chun-yu, XU Yue-yue

2023, 0(3):  28-40. 

Asbtract ( 146 )  

References | Related Articles | Metrics

The effective coordination between fiscal policy and monetary policy is the basic condition for a sound macroeconomic governance system with optimized objectives, reasonable division of labor, and efficient coordination. This paper makes use of the MDQVAR model to test the impact of fiscal policy with different intensities on the effectiveness of monetary policy in regulating the three economic targets, i.e., economic growth, price stability and debt controllability, and the impact of the changes in the fiscal policy structures on the regulation effect of monetary policy. The findings show that during the economic downturn, the coordination between low-intensity taxation policy and loose quantity-based monetary policy can quickly promote economic recovery and achieve the goal of stable economic growth. During the economic overheating period, the coordination between high-intensity taxation policy and tight price-based monetary policy is more effective in stabilizing the price level and achieve the target of restraining inflation. During the stable economic period, the coordination between high-intensity fiscal expenditure and tight price-based monetary policy can achieve the three regulating goals of stabilizing economic growth, controlling inflation and reducing government debt. Therefore, when the proportion of productive fiscal expenditure is adjusted to the medium level, the macro-control effect of policy mix is further strengthened. Therefore, the combination of fiscal and monetary policies should be adjusted according to the policy objectives of different economic periods. We shouldoptimize the structure of government spending, maintain a proper proportion between productive spending and consumption spending, seek a dynamic balance among multiple objectives, so as to improve the macroeconomic governance system andpromote the high-quality economic development.

Vertical Fiscal Imbalance, Public Finance Supporting Agriculture Bias and High-Quality Agricultural Development

ZHANG Wei-gang, OUYANG Jian-yong

2023, 0(3):  41-54. 

Asbtract ( 111 )  

References | Related Articles | Metrics

Deepening the reform of the financial system is the basic guarantee for achieving high-quality agricultural development; while improving the public financial expenditure on agriculture, optimizing the structure and improving the performance are the inevitable requirements for realizing the goal. Therefore, under the background of rural revitalization stragety, this paper systematically expounds the multiple mechanisms among vertical fiscal imbalance, public finance supporting agriculture bias and high-quality agricultural development from the theoretical level. Based on China’s inter-provincial panel data from 2007 to 2019, it constructs a comprehensive measurement index system of high-quality agricultural development on the basis of the“Five Development Concepts”. The results show that the overall high-quality agricultural development index of China is rising slowly, the absolute level is not high, and there is obvious heterogeneity in innovation, coordination, greenness, opening up and sharing. It is found through the empirical survey that the vertical fiscal imbalance, the public finance supporting agriculture bias and the high-quality agricultural development all present a significant and direct negative correlation, and that while the vertical fiscal imbalance is extended, the public finance supporting agriculture is also significantly increased, producing a significant indirect inhibiting effect on the high-quality agricultural development. Therefore, it is necessary to reasonably control the level of vertical fiscalimbalance, increase the total amount of fiscal expenditure on agriculture and optimize the structure of fiscal expenditure on agriculture, and at the same time improve the performance evaluation system of local officials, so as to promote the high-quality agricultural development with “benign competition”.

Modern Finance

Digital RMB, International Economy-Trade Connection and Macroeconomic Fluctuation

XU Wen-li, WANG Wen-fu

2023, 0(3):  55-69. 

Asbtract ( 182 )  

References | Related Articles | Metrics

The internationalization and digitization of RMB is the significant driving force for China’s high-quality economic development, therefore, it has significant theratical and practical values to study the impact of digital RMB from the perspective of international economy. Based on the dynamic stochastic general equilibrium model of the two countries with the characteristics of the liquidity service and asset service of digital RMB, this paper conducts an analysis of the international economic effect of the issuance and cross-border use of digital RMB. The findings show that the issuance and cross-border use of digital RMB can stabilize domestic economic fluctuations caused by exogenous technical and policy shocks, while strengthening economic and financial ties between China and foreign countries, which is mainly achieved by strengthening the ties between international trade and international finance. The difference in therestrictions on cross-border use of digital RMB has a limited impact on the domestic economy, but has a greater impact on the holdings of digital RMB in foreign countries and the net exports. The stronger the liquidity of digital RMB, the more stable the macroeconomic fluctuation caused by domestic shocks will be, but it may exacerbate international economic fluctuations. The above conclusions suggest that the People’s Bank of China can promote the pilots of cross-border use of digital RMB in a step-by-step and orderly manner, and pay attention to the dynamic adjustment of the cross-border use restrictions and the coordination of international economic policies.

Research on the Hype Effect before the Issuance of Convertible Bonds: the Forecasting Method Based on Machine Learning

LIU E-ping, QIN Hao-yuan

2023, 0(3):  70-81. 

Asbtract ( 137 )  

References | Related Articles | Metrics

This paper conducts an empirical study based on the analyst reports and stock market performance of the listed companies issuing convertible bonds and ordinary bonds prior to the announcement date from 2010 to 2022. The findings show that, compared to the listed companies issuing ordinary corporate bonds, there exist potential hype behaviors between the listed companies issuing convertible bonds and the analysts,which shapes a positive stock price effect. Specifically, the positive tone of the analyst reports significantly increase and the negative tone significantly decrease in the first 180 days of the announcement of convertible bond prospectus issued by listed companies, especially the responses in the first 90 days are more pronounced. At the same time, the average increase in P/B, stock price and circulation market valueis significantly greater in the first 20 days for the listed companies issuing convertible bonds, and the cumulative abnormal returns in the 20 days prior to the announcement date are significantly higher, which results in lower subsequent equity dilution costs for the listed companies issuing convertible bonds. The empirical results suggest that possible hype phenomenon by securities analysts may exist in the capital markets. The above findings unearth the share price anomalies and the transmission mechanism of share price changes prior to the announcement of convertible bond issuance by listed companies, while providing references for the regulation of capital market information disclosure and the protection of public investors.

Business Administration

Can“Punishing One”Necessarily“Warn One Hundred Others”? A Study on the Favorable Comparative Effect of Punishment Announcement: Experimental Evidences from Fraudulent Decision-Making

CHEN Yi-zao, WANG Sheng-yuan

2023, 0(3):  82-93. 

Asbtract ( 100 )  

References | Related Articles | Metrics

Favorable comparison is a common cognitive process of individuals in making unethical decisions. It reduces their sense of moral condemnation from the unethical behaviors performed by themselves by comparing with worse behaviors. Then, is there any information source that may induce individuals to make favorable comparison in reality? In theory, the fraud cases involving large amounts and with very bad social impacts that disclosed in the regulatory punishment announcements may become such potential information sources. By simulating the actual annual performance report scenario, this paper studies the impact of the information of severe casesrevealed in the punishment announcements on the fraud behaviors of small-amount fraud decision-makers by designing a laboratory to experiment and investigate the fraud decision-makings. The experimental results support the hypothesis of favorable comparative effect, that is, compared with the subjects who are not induced by the information of severe cases, the subjects who are induced by the information of severe cases have a higher degree of performance misstatement in the experimental decision-making, and this effect mainly exists in the subjects with a higher degree of risk preference. In addition, the subjects who are induced by the information of serious cases show a much lower level of negative emotion after performing fraudulent behaviors.

Does Green Financial Policy Promote Corporate Green Innovations? Evidences from the Green Financial Reform and Innovation Pilot Zones

QI Huai-jin, LIU Si-qin

2023, 0(3):  94-105. 

Asbtract ( 211 )  

References | Related Articles | Metrics

Taking the green finance reform and innovation pilot zones set up in 2017 as a quasi-natural experiment, this paper uses the green patent data of the listed companies in the heavily polluting industries of Shanghai and Shenzhen A-shares in China from 2014 to 2020 to explore the impact of the green finance pilot policy on the corporate green innovations with the double difference method. The findings show that the green finance pilot policy is conducive to improving the green innovation activity of the enterprises. For enterprises with higher pollution emission intensity, the green innovation incentive effect of the policy is more obvious. Corporate reputation risk and financing convenience are the two important channels for the policy to improve the activity of green innovation of enterprises. The above conclusions are more significant in the samples of non-state-owned enterprises, with higher degree of dependence on external financing and with weaker environmental regulations. This research conclusion not only provides empirical evidences for the implementation effect of the green finance pilot policy, but also has practical significance for improving the green finance system and replicating and promoting the green finance reform and innovation pilot zones.

Industry & Trade

Research on Innovation Peer Effects in China’s Enterprise Trade Networks

WANG Ning, CHENG Da-zhong

2023, 0(3):  106-118. 

Asbtract ( 108 )  

References | Related Articles | Metrics

Nowadays, the persistence of the innovation activities of Chinese firms is faced with severe challenges from both internal and external environmental changes. And the production and the division of labor in the modern economy are becoming more and more networking. As a result, using the enterprise trade networks to solve the innovation dilemma has been an important strategy to achieve the objective of innovative growth in China’s new development stage. This paper first constructs a model of enterprise trade network and peer innovation game, then it conducts an empirical test based on the supplier-customer trade network data of China’s listed companies from 2009 to 2013, so as to study the innovative peer effects in the enterprise trade network formed between the enterprises and their upstream and downstream partners. The findings show that the technological improvements of the partner enterprises in the enterprise trade networks have significantly promoted enterprise innovations, namely, there exist innovation peer effects in the enterprise trade networks. The major channel affecting the vertical partners is knowledge spillover, while the major channel affecting the horizontal partners is the competitive pressure. Further study reveals that the innovation peer effects in the enterprise trade networks have the high-order property, which is more significant in the samples of supplier vertical partners and in the samples of the horizontal partners of the shared customers, and that these effects will be enhanced with the improvements of the degree of marketization. Therefore, we should properly distribute the enterprise trade networks, establish the leading role of competition and market mechanism in resource allocation, and pay attention to the network spillover effects of related policies, so as to achieve the successful transformation from China-made to China-created.

Factor Price Distortion and Export Product Quality of Chinese Enterprises

YUAN Hong-lin, LIU Chen, FANG Yu-xia

2023, 0(3):  119-130. 

Asbtract ( 94 )  

References | Related Articles | Metrics

The improvement of factor allocation efficiency is an important driving force for promoting the high-quality development of foreign trade. From the perspective of institutional environment, this paper studies the impact of factor price distortions on the quality of export products and its mechanism at the enterprise level by using the micro-data of import and export of China’s customs and China’s industrial enterprises from 2000 to 2013. The findings show that, firstly, there is an inverted U type relationship between factor price distortion and the quality of enterprises’ export products, that is, with the increasing degree of factor price distortion, the quality of enterprises’ export products is improving; when the factor price distortion reaches a certain threshold value, the quality of enterprises’ export products declines. Secondly, the impact of factor price distortions on the quality of export products will present different characteristics due to the differences in enterprises’ trade mode, technological level, and geographical location.Among them, the general trading enterprises, the high-tech enterprises, and the enterprises in the eastern region will only reach the inflection point position under a relatively higher level of factor price distortion, thereby inhibiting the improvement of the quality of enterprises’ export products. Thirdly, the cost-plus rate of enterprises and the domestic intermediate input proportion are the two intermediary factors of factor price distortion affecting the quality of enterprises’ export products. When factor price distortion increases to a certain extent, it will reduce the cost-plus rate of enterprises and increase the domestic intermediate input proportion, thereby hindering the improvement of the quality of enterprises’ export products. Fourthly, the institutional environment will play a moderating role between the factor price distortion and the quality of enterprises’ export products; and in the regions with better institutional environment, the inverted U type curve between factor price distortions and the quality of export products will be smoother.

Modern Accounting

Can the Reform of State-Owned Capital Investment and Operation Companies Improve the Investment Efficiency of SOEs

YANG Li-juan, XIONG Ling-yun

2023, 0(3):  131-143. 

Asbtract ( 160 )  

References | Related Articles | Metrics

The report of the 20th Party Congress proposes to continue to deepen the reform of state-owned capital and enterprises. At present, the reform of state-owned capital and enterprises has entered a new stage of taking“capital management”as the principal thing, and it is of great importance to study the effectiveness, mechanism and economic consequences of the reform of state-owned capital investment and operation companies (SOCIOCs). Based on the data of the reform samples of state-owned listed companies from 2008 to 2020, this paper conducts an empirical study. The findings show that the reform of SOCIOCs can significantly improve the investment efficiency of SOEs, which is mainly achieved by inhibiting over-investment. The result of the mechanism analysis shows that the reform of SOCIOCs has improved the investment efficiency of SOEs through the two intrinsic mechanisms of curbing the opportunistic behaviors of the management and reducing the policy burdens. Further analysis reveals that the stronger the reform efforts, the stronger the effect of SOEs investment efficiency improvement will be. The effect of SOCIOCs reform on the improvement of the investment efficiency of SOEs is more significant in the group of enterprises with lower levels of corporate governance. The result of the economic consequence test reveals that the financial value of SOEs can be significantly improved when the investment efficiency of SOEs is improved by the SOCIOCs reform. Therefore, we should actively promote the reform of SOCIOCs, promote the reform of government decentralization, give full play to the corporate supervision mechanism, and improve the level of corporate governance.

Reform of State-Owned Capital Investment and Operation Companies and Corporate Voluntary Information Disclosure

WANG Xue, LIAO Qiang, WANG Yu-han

2023, 0(3):  144-156. 

Asbtract ( 108 )  

References | Related Articles | Metrics

Based on the quarterly data of A-share state-owned listed companies from 2008 to 2021, this paper constructs a multi-time point double difference model to explore the impact and the mechanism of the reform of state-owned capital investment and operation companies(SOCIOCs) on corporate voluntary information disclosure. The findings show that the reform of SOCIOCs has significantly improved the probability of SOEs issuing voluntary performance forecasts and the robustness and accuracy of their performance forecasts. The mechanism analysis shows that the reform of SOCIOCs can improve the level of voluntary information disclosure of SOEs by improving the management incentive insufficiency and improving the supervision mechanism. The result of the heterogeneity analysis shows that the effect of the reform of SOCIOCs on improving the voluntary information disclosure of SOEs is more significant in enterprises with insufficient governance of analysts and auditors. In addition, the effect of SOCIOCs on the improvement of the voluntary information disclosure of SOEs is gradually weakened with the extension of the control chain. Therefore, it is necessary to steadily expand the scope of the pilot reform of SOCIOCs, strive to promote the comprehensive optimization of the governance structure and supervision level of SOCIOCs, and ensure that the SOCIOCs operate in accordance with the markets.