articleJournal of Environmental ManagementJan 13, 2024HYBRID OA

The impact of green finance policy on green innovation performance: Evidence from Chinese heavily polluting enterprises

Nanjing University of Information Science and Technology · University of Reading · +2 more institutions

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Abstract

Green innovation (GI) is increasingly recognised as an effective strategy for tackling climate change, mitigating environmental issues, and promoting sustainable development. Using panel data of the Chinese listed firms from 2007 to 2019, this study adopts the difference-in-differences approach to assess the impact of the green finance policy (GFP) initiated by the Chinese government in 2012 on the green innovation performance of firms. The findings reveal that the GFP significantly boosts the green innovation performance of heavily polluting enterprises (HPEs). Notably, this effect is more pronounced in state-owned enterprises and firms with high dependence on external finance. Compared with penalty-based…

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153
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100%
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Authors

4

Topics & keywords

Keywords
  • Business
  • Incentive
  • Exploit
  • Green innovation
  • Industrial organization
  • Sustainable development
  • Government (linguistics)
  • Porter hypothesis
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