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Digital financial inclusion and the share of labor income: Firm-level evidence

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  • Zhu, Wenpeng

Abstract

We analyze the impact of digital financial inclusion (DFI) on the change in the labor income share of listed firms. Based on small and medium-sized enterprises from 2011 to 2021 in China, we show that the development of DFI plays an important role in promoting the increase in the labor income share of firms, among which the breadth of coverage has a more significant effect. The effect is more significant for private firms than for state-owned firms, and for firms located in western China than in developed regions.

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  • Zhu, Wenpeng, 2023. "Digital financial inclusion and the share of labor income: Firm-level evidence," Finance Research Letters, Elsevier, vol. 56(C).
    • Handle: RePEc:eee:finlet:v:56:y:2023:i:c:s1544612323005329
    DOI: 10.1016/j.frl.2023.104160
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    Cited by:

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    3. Chen, Bo & Xu, Huange & Li, Guangchen, 2023. "Entry deregulation and labor share: Evidence from China," Finance Research Letters, Elsevier, vol. 58(PD).
    4. Ji, Jie & Wang, Ying, 2024. "The impact of digital infrastructure on the geographical supply chain layout of firms —— Evidence from Chinese microdata," China Economic Review, Elsevier, vol. 87(C).
    5. Lin, Baoguo & Dong, Xueqin, 2024. "Empirical Study on the Impact of Digital Finance on Commercial Credit Allocation in SMEs," Finance Research Letters, Elsevier, vol. 61(C).

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