Exploring the Impact of Digital Inclusive Finance on Agricultural Carbon Emissions: Evidence from the Mediation Effect of Capital Deepening

Hua Hong, Lili Sun () and Lijuan Zhao
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Hua Hong: School of Finance, Inner Mongolia University of Finance and Economics, Hohhot 010070, China
Lili Sun: School of Finance, Inner Mongolia University of Finance and Economics, Hohhot 010070, China
Lijuan Zhao: School of Management, Tianjin University of Technology, Tianjin 300384, China

Sustainability, 2024, vol. 16, issue 7, 1-21

Abstract: Carbon emissions from agriculture should not be underestimated. With the aim for carbon peaking and carbon neutralization and the help of digital inclusive finance, the effective reduction in carbon emissions in agriculture and animal husbandry production is crucial to achieving China’s carbon emission reduction goals. We used the balanced panel data of 31 provinces in China from 2011 to 2021 to study this issue. We empirically tested the impact, mechanism, and heterogeneity of digital inclusive finance on agricultural carbon emissions based on the systematic measurement of agricultural carbon emissions. The results revealed that (1) the development of digital inclusive finance has a significant inhibitory effect on agricultural carbon emissions, and it is an important path to reduce agricultural carbon emissions. (2) Through the intermediary effects’ analysis, it was found that capital deepening is an important transmission mechanism for the promotion of agricultural carbon emission reduction through digital inclusive finance. (3) Further analysis using the quantile regression model reveals that the impact of digital inclusive finance on agricultural carbon emissions is significantly negative at different quantiles. (4) Through the spatial Durbin model, digital inclusive finance has a space carbon enhancement effect. Finally, we put forward suggestions to promote the development of low-carbon agriculture by paying attention to the technical effect of digital inclusive finance, strengthening the connection and cooperation between various regions and promoting the carbon emission reduction role of capital deepening.

Keywords: digital inclusive finance; agricultural carbon emissions; capital deepening; mediating effect model; quantile regression model; spatial spillover effects (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2024
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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