Quantity or quality? The effect of green finance on enterprise green technology innovation
European Journal of Innovation Management
ISSN: 1460-1060
Article publication date: 14 November 2023
Abstract
Purpose
This paper aims to explore the impact of green finance on the heterogeneity of enterprise green technology innovation and the underlying mechanism between them.
Design/methodology/approach
Using the data of China's A-share listed enterprises from 2008 to 2020 and the fixed effect model, the authors empirically explore the relationship and mechanism between green finance and green technology innovation by constructing the green finance index while considering both the quality and quantity of innovation.
Findings
The study suggests that green finance is positively related to the quality and quantity of enterprise green technology innovation, while green finance is more effective in stimulating the quality of green technology innovation than quantity. In addition, alleviating financial mismatch and improving the quality of environmental information disclosure are core mechanisms during the process of green finance facilitating green technology innovation. Furthermore, green finance exerts a more positive effect on the quality and quantity of green technology innovation with large-size enterprises, heavily polluting industries and enterprises in the eastern region.
Originality/value
This paper enriches the literature on green finance and green technology innovation and provides practical significance for green finance implementation.
Keywords
Acknowledgements
This research was supported by the Zhejiang Provincial Philosophy and Social Sciences Planning Project (Grant/Award Number: 20NDJC090YB) and the National Natural Science Foundation of China (Grant/Award Number: 72072048). Meanwhile, the authors are also very grateful to the editors and anonymous reviewers for their insightful comments that helped us sufficiently improve the quality of this paper.
Statements and declarations: The authors declare that they have no known competing financial interests or personal relationships that could have appeared to influence the work reported in this paper.
Xin Li, Siwei Wang, Xue Lu and Fei Guo are co-first authors.
Citation
Li, X., Wang, S., Lu, X. and Guo, F. (2023), "Quantity or quality? The effect of green finance on enterprise green technology innovation", European Journal of Innovation Management, Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/EJIM-03-2023-0208
Publisher
:Emerald Publishing Limited
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