Does the expansion of local government debt affect the export quality?

Xuan Leng, Pengcheng Li and Yuming Zheng

Managerial and Decision Economics, 2023, vol. 44, issue 4, 2495-2515

Abstract: Improving the quality of its exports is an important way for China to develop high‐quality foreign trade. It is of greatest academic value and policy significance to study the factors that restrict the export quality of enterprises. This paper empirically discusses the impact of local government debt expansion on export quality as well as its transmission mechanism, using microdata from Chinese enterprises. According to research findings, the acquisition of debt negatively affects enterprises in several ways. First, the expansion of local government debt has a negative impact on the export quality of enterprises. Second, local government debt affects export quality through financial constraints and the Dutch disease effect. Third, local government debt impact on export quality reflects significant heterogeneity in terms of debt types and characteristics of regional economics.

Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

Downloads: (external link)
https://doi.org/10.1002/mde.3830

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:wly:mgtdec:v:44:y:2023:i:4:p:2495-2515

Access Statistics for this article

Managerial and Decision Economics is currently edited by Antony Dnes

More articles in Managerial and Decision Economics from John Wiley & Sons, Ltd.
Bibliographic data for series maintained by Wiley Content Delivery ().