IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v14y2022i5p2825-d760924.html
   My bibliography  Save this article

Research on Green Finance and Green Development Based Eco-Efficiency and Spatial Econometric Analysis

Author

Listed:
  • Tifang Ye

    (School of Information Management and Statistics, Hubei University of Economics, Wuhan 430205, China)

  • Xiuli Xiang

    (School of Economics, Wuhan Textile University, Wuhan 430020, China)

  • Xiangyu Ge

    (School of Statistics and Mathematics, Zhongnan University of Economics and Law, Wuhan 430073, China)

  • Keling Yang

    (School of Information Management and Statistics, Hubei University of Economics, Wuhan 430205, China)

Abstract

During the “14th Five-Year Plan” period, a question worth exploring in depth would be how China promotes green development through green finance to realize the goal of financially supporting the construction of ecological civilization. This paper builds a super-efficiency SBM window model to evaluate the comparable eco-efficiency of 30 provincial administrative regions in Mainland China (except Tibet) as a measurement of green development, and constructs an evaluation system for the green finance index, as a measurement of regional green finance development levels in China from 2007 to 2019. This paper also constructs spatial econometric models to study the effects of green finance on green development, and the influence of green finance on green development through supporting green technological innovation. Moreover, this paper analyzes the mechanisms of the spatial spillover effects and the heterogeneity in eastern, central, and western regions of China. The results of the study show that green finance only has a positive effect on green development in eastern regions, while in central and western regions, it fails to effectively support green development. The positive effect of green finance on green development by supporting green technological innovation is only in eastern regions, but it is not significant in the central region, while negative effect in the western region. Finally, according to the research conclusions, it is proposed to implement differentiated policies of green finance and the integration policies of green finance and green technological innovation policies in different regions of China.

Suggested Citation

  • Tifang Ye & Xiuli Xiang & Xiangyu Ge & Keling Yang, 2022. "Research on Green Finance and Green Development Based Eco-Efficiency and Spatial Econometric Analysis," Sustainability, MDPI, vol. 14(5), pages 1-29, February.
    • Handle: RePEc:gam:jsusta:v:14:y:2022:i:5:p:2825-:d:760924
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/14/5/2825/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/14/5/2825/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Zhang, Xing-Ping & Cheng, Xiao-Mei & Yuan, Jia-Hai & Gao, Xiao-Jun, 2011. "Total-factor energy efficiency in developing countries," Energy Policy, Elsevier, vol. 39(2), pages 644-650, February.
    2. Liu, Yunqiang & Zhu, Jialing & Li, Eldon Y. & Meng, Zhiyi & Song, Yan, 2020. "Environmental regulation, green technological innovation, and eco-efficiency: The case of Yangtze river economic belt in China," Technological Forecasting and Social Change, Elsevier, vol. 155(C).
    3. Zhang, Bing & Bi, Jun & Fan, Ziying & Yuan, Zengwei & Ge, Junjie, 2008. "Eco-efficiency analysis of industrial system in China: A data envelopment analysis approach," Ecological Economics, Elsevier, vol. 68(1-2), pages 306-316, December.
    4. J. Paul Elhorst & Sandy Fréret, 2009. "Evidence Of Political Yardstick Competition In France Using A Two‐Regime Spatial Durbin Model With Fixed Effects," Journal of Regional Science, Wiley Blackwell, vol. 49(5), pages 931-951, December.
    5. Kim, Yongtae & Li, Haidan & Li, Siqi, 2014. "Corporate social responsibility and stock price crash risk," Journal of Banking & Finance, Elsevier, vol. 43(C), pages 1-13.
    6. Linnenluecke, Martina K. & Smith, Tom & McKnight, Brent, 2016. "Environmental finance: A research agenda for interdisciplinary finance research," Economic Modelling, Elsevier, vol. 59(C), pages 124-130.
    7. Tone, Kaoru, 2002. "A slacks-based measure of super-efficiency in data envelopment analysis," European Journal of Operational Research, Elsevier, vol. 143(1), pages 32-41, November.
    8. Picazo-Tadeo, Andrés J. & Beltrán-Esteve, Mercedes & Gómez-Limón, José A., 2012. "Assessing eco-efficiency with directional distance functions," European Journal of Operational Research, Elsevier, vol. 220(3), pages 798-809.
    9. Enxian Wang & Xinghe Liu & Jiapeng Wu & Danting Cai, 2019. "Green Credit, Debt Maturity, and Corporate Investment—Evidence from China," Sustainability, MDPI, vol. 11(3), pages 1-19, January.
    10. Levine, Ross, 2005. "Finance and Growth: Theory and Evidence," Handbook of Economic Growth, in: Philippe Aghion & Steven Durlauf (ed.), Handbook of Economic Growth, edition 1, volume 1, chapter 12, pages 865-934, Elsevier.
    11. Bert Scholtens, 2006. "Finance as a Driver of Corporate Social Responsibility," Journal of Business Ethics, Springer, vol. 68(1), pages 19-33, September.
    12. Reinhard, Stijn & Knox Lovell, C. A. & Thijssen, Geert J., 2000. "Environmental efficiency with multiple environmentally detrimental variables; estimated with SFA and DEA," European Journal of Operational Research, Elsevier, vol. 121(2), pages 287-303, March.
    13. A. Charnes & W. W. Cooper, 1962. "Programming with linear fractional functionals," Naval Research Logistics Quarterly, John Wiley & Sons, vol. 9(3‐4), pages 181-186, September.
    14. Costantini, Valeria & Crespi, Francesco & Palma, Alessandro, 2017. "Characterizing the policy mix and its impact on eco-innovation: A patent analysis of energy-efficient technologies," Research Policy, Elsevier, vol. 46(4), pages 799-819.
    15. J. Elhorst, 2010. "Applied Spatial Econometrics: Raising the Bar," Spatial Economic Analysis, Taylor & Francis Journals, vol. 5(1), pages 9-28.
    16. Chami, Ralph & Cosimano, Thomas F. & Fullenkamp, Connel, 2002. "Managing ethical risk: How investing in ethics adds value," Journal of Banking & Finance, Elsevier, vol. 26(9), pages 1697-1718, September.
    17. Charnes, A. & Cooper, W. W. & Rhodes, E., 1978. "Measuring the efficiency of decision making units," European Journal of Operational Research, Elsevier, vol. 2(6), pages 429-444, November.
    18. Pasquale Marcello Falcone & Edgardo Sica, 2019. "Assessing the Opportunities and Challenges of Green Finance in Italy: An Analysis of the Biomass Production Sector," Sustainability, MDPI, vol. 11(2), pages 1-14, January.
    19. Tone, Kaoru, 2001. "A slacks-based measure of efficiency in data envelopment analysis," European Journal of Operational Research, Elsevier, vol. 130(3), pages 498-509, May.
    20. R. Bianchini & A. Croce, 2022. "The Role of Environmental Policies in Promoting Venture Capital Investments in Cleantech Companies," Review of Corporate Finance, now publishers, vol. 2(3), pages 587-616, December.
    21. Tang, Amy & Chiara, Nicola & Taylor, John E., 2012. "Financing renewable energy infrastructure: Formulation, pricing and impact of a carbon revenue bond," Energy Policy, Elsevier, vol. 45(C), pages 691-703.
    22. Lin, Ming-Jen & Liu, Jin-Tan, 2009. "Do lower birth weight babies have lower grades? Twin fixed effect and instrumental variable method evidence from Taiwan," Social Science & Medicine, Elsevier, vol. 68(10), pages 1780-1787, May.
    23. Mark A. White, 1996. "Environmental Finance: Value And Risk In An Age Of Ecology," Business Strategy and the Environment, Wiley Blackwell, vol. 5(3), pages 198-206, September.
    24. Lioui, Abraham & Sharma, Zenu, 2012. "Environmental corporate social responsibility and financial performance: Disentangling direct and indirect effects," Ecological Economics, Elsevier, vol. 78(C), pages 100-111.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Razzaq, Asif & Yang, Xiaodong, 2023. "Digital finance and green growth in China: Appraising inclusive digital finance using web crawler technology and big data," Technological Forecasting and Social Change, Elsevier, vol. 188(C).
    2. Weicheng Xu & Xiaoyi Feng & Yiying Zhu, 2023. "The Impact of Green Finance on Carbon Emissions in China: An Energy Consumption Optimization Perspective," Sustainability, MDPI, vol. 15(13), pages 1-23, July.
    3. Alexander Melnik & Irina Naoumova & Kirill Ermolaev, 2023. "Adapting Innovation Development Management Processes to Improve Energy Efficiency and Achieve Decarbonization Goals," Foresight and STI Governance (Foresight-Russia till No. 3/2015), National Research University Higher School of Economics, vol. 17(1), pages 51-66.
    4. Ming Chen & Lina Song & Xiaobo Zhu & Yanshuo Zhu & Chuanhao Liu, 2023. "Does Green Finance Promote the Green Transformation of China’s Manufacturing Industry?," Sustainability, MDPI, vol. 15(8), pages 1-22, April.
    5. Shumin Zhang & Yongze Lv & Baolei Zhang, 2022. "Spatio-Temporal Evolution and Influencing Factors of Green Development in the Yellow River Basin of China," Sustainability, MDPI, vol. 14(19), pages 1-19, September.
    6. Ying Liu & Lei Tian & Zhiyi Wang & Peiyong He & Meng Li & Na Wang & Yang Yu, 2023. "Spatial–Temporal Evolution of Interprovincial Ecological Efficiency and Its Determinants in China: A Super-Efficiency SBM Model Approach," Sustainability, MDPI, vol. 15(18), pages 1-19, September.
    7. Huizi Ma & Xuan Miao & Zhen Wang & Xiangrong Wang, 2023. "How Does Green Finance Affect the Sustainable Development of the Regional Economy? Evidence from China," Sustainability, MDPI, vol. 15(4), pages 1-16, February.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Tifang Ye & Hao Zheng & Xiangyu Ge & Keling Yang, 2021. "Pathway of Green Development of Yangtze River Economics Belt from the Perspective of Green Technological Innovation and Environmental Regulation," IJERPH, MDPI, vol. 18(19), pages 1-26, October.
    2. Zhou, Anhua & Li, Jun, 2021. "Investigate the impact of market reforms on the improvement of manufacturing energy efficiency under China’s provincial-level data," Energy, Elsevier, vol. 228(C).
    3. Zhou, Haibo & Yang, Yi & Chen, Yao & Zhu, Joe, 2018. "Data envelopment analysis application in sustainability: The origins, development and future directions," European Journal of Operational Research, Elsevier, vol. 264(1), pages 1-16.
    4. Mardani, Abbas & Zavadskas, Edmundas Kazimieras & Streimikiene, Dalia & Jusoh, Ahmad & Khoshnoudi, Masoumeh, 2017. "A comprehensive review of data envelopment analysis (DEA) approach in energy efficiency," Renewable and Sustainable Energy Reviews, Elsevier, vol. 70(C), pages 1298-1322.
    5. Trinks, Arjan & Mulder, Machiel & Scholtens, Bert, 2020. "An Efficiency Perspective on Carbon Emissions and Financial Performance," Ecological Economics, Elsevier, vol. 175(C).
    6. Alizadeh, Reza & Gharizadeh Beiragh, Ramin & Soltanisehat, Leili & Soltanzadeh, Elham & Lund, Peter D., 2020. "Performance evaluation of complex electricity generation systems: A dynamic network-based data envelopment analysis approach," Energy Economics, Elsevier, vol. 91(C).
    7. Ya Chen & Yongjun Li & Liang Liang & Huaqing Wu, 2019. "An extension on super slacks-based measure DEA approach," Annals of Operations Research, Springer, vol. 278(1), pages 101-121, July.
    8. Pyoungsoo Lee, 2022. "Ranking Decision Making for Eco-Efficiency Using Operational, Energy, and Environmental Efficiency," Sustainability, MDPI, vol. 14(6), pages 1-18, March.
    9. Yahong Liu & Hailian Sun & Lei Shi & Huimin Wang & Zhai Xiu & Xiao Qiu & Hong Chang & Yu Xie & Yang Wang & Chengjie Wang, 2021. "Spatial-Temporal Changes and Driving Factors of Land-Use Eco-Efficiency Incorporating Ecosystem Services in China," Sustainability, MDPI, vol. 13(2), pages 1-15, January.
    10. Xu Wang & Liyan Han & Libo Yin, 2016. "Environmental Efficiency and Its Determinants for Manufacturing in China," Sustainability, MDPI, vol. 9(1), pages 1-18, December.
    11. Yongyi Cheng & Tianyuan Shao & Huilin Lai & Manhong Shen & Yi Li, 2019. "Total-Factor Eco-Efficiency and Its Influencing Factors in the Yangtze River Delta Urban Agglomeration, China," IJERPH, MDPI, vol. 16(20), pages 1-14, October.
    12. Linbo Zhang & Wenjing Xiang & Dongsheng Shi & Tian Liang & Xi Xiong & Shuyao Wu & Wentao Zhang & Duogui Yang, 2023. "Impact of Green Development Mechanism Innovation on Total-Factor Environmental Efficiency: A Quasi-Natural Experiment Based on National Pilot Cities," Sustainability, MDPI, vol. 15(2), pages 1-24, January.
    13. Ying-yu Lu & Yue He & Bo Wang & Shuang-shuang Ye & Yidi Hua & Lei Ding, 2019. "Efficiency Evaluation of Atmospheric Pollutants Emission in Zhejiang Province China: A DEA-Malmquist Based Approach," Sustainability, MDPI, vol. 11(17), pages 1-19, August.
    14. Lan Yao & Zhenning Yu & Mengya Wu & Jiachen Ning & Tiangui Lv, 2020. "The Spatiotemporal Evolution and Trend Prediction of Ecological Wellbeing Performance in China," Land, MDPI, vol. 10(1), pages 1-17, December.
    15. Halkos, George & Petrou, Kleoniki Natalia, 2019. "Treating undesirable outputs in DEA: A critical review," Economic Analysis and Policy, Elsevier, vol. 62(C), pages 97-104.
    16. Junfei Chu & Jie Wu & Qingyuan Zhu & Qingxian An & Beibei Xiong, 2019. "Analysis of China’s Regional Eco-efficiency: A DEA Two-stage Network Approach with Equitable Efficiency Decomposition," Computational Economics, Springer;Society for Computational Economics, vol. 54(4), pages 1263-1285, December.
    17. Jie Zhang & Yajing Wang & Jiangfeng Li, 2023. "Maximize Eco-Economic Benefits with Minimum Land Resources Input: Evaluation and Evolution of Land Use Eco-Efficiency of Agglomerations in Middle Reaches of Yangtze River, China," IJERPH, MDPI, vol. 20(3), pages 1-19, January.
    18. Mushtaq Taleb & Ruzelan Khalid & Ali Emrouznejad & Razamin Ramli, 2023. "Environmental efficiency under weak disposability: an improved super efficiency data envelopment analysis model with application for assessment of port operations considering NetZero," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 25(7), pages 6627-6656, July.
    19. Xiaoqing Wang & Qiuming Wu & Salman Majeed & Donghao Sun, 2018. "Fujian’s Industrial Eco-Efficiency: Evaluation Based on SBM and the Empirical Analysis of lnfluencing Factors," Sustainability, MDPI, vol. 10(9), pages 1-18, September.
    20. Wang, Xinbin & Wang, Zilong & Wang, Rong, 2023. "Does green economy contribute towards COP26 ambitions? Exploring the influence of natural resource endowment and technological innovation on the growth efficiency of China's regional green economy," Resources Policy, Elsevier, vol. 80(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:14:y:2022:i:5:p:2825-:d:760924. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.