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Fiscal Decentralization, Enterprise Digital Transformation and Enterprise Green Innovation—The Case of 11 Years A-Share Listed Companies in China

Author

Listed:
  • Anqi Wang

    (School of Management, China University of Mining & Technology, Beijing 100083, China)

  • Lianmei Zhu

    (School of Management, China University of Mining & Technology, Beijing 100083, China)

  • Huanan Sun

    (School of Management, China University of Mining & Technology, Beijing 100083, China)

  • Shali Wang

    (School of Management, China University of Mining & Technology, Beijing 100083, China
    School of Economics and Management, Guizhou University of Engineering Science, Bijie 551700, China)

  • Haijing Ma

    (Institute of Climate Change and Sustainable Development, Tsinghua University, Beijing 100084, China)

Abstract

In the context of accelerating economic transformation and upgrading, and comprehensively promoting the construction of digital China and ecological civilization in China, this paper uses text mining and OLS to quantitatively study the relationship between fiscal decentralization, enterprise digital transformation and green innovation in 31 provinces from 2011 to 2021. This study finds that fiscal decentralization will promote enterprise green innovation and digital transformation, and that digital transformation has a partial mediating effect between fiscal decentralization and enterprise green innovation. Furthermore, this expansive study finds that fiscal decentralization has a positive role in promoting the green innovation of heterogeneous enterprises and enterprises in different regions, among which its promotion effect on state-owned enterprises is higher than that of private enterprises, and its promotion effect on enterprises in the central and western regions is higher than that of enterprises in the eastern region. Moreover, an inverted U-shaped relationship exists between fiscal decentralization and the green innovation of enterprise. In addition, financing constraints have a masking effect between fiscal decentralization and green innovation in enterprise and green innovation significantly promotes enterprise environmental, social and governance (ESG) development.

Suggested Citation

  • Anqi Wang & Lianmei Zhu & Huanan Sun & Shali Wang & Haijing Ma, 2023. "Fiscal Decentralization, Enterprise Digital Transformation and Enterprise Green Innovation—The Case of 11 Years A-Share Listed Companies in China," Sustainability, MDPI, vol. 15(8), pages 1-21, April.
    • Handle: RePEc:gam:jsusta:v:15:y:2023:i:8:p:6838-:d:1126665
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    References listed on IDEAS

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