Does green finance drive low-carbon economic development? Evidence from China

Qi Cui, Xiaoyu Ma and Sisi Zhang

Economic Research-Ekonomska Istraživanja, 2023, vol. 36, issue 3, 2183421

Abstract: Green finance is a vital foundation for fundamental economic low-carbon transformation. Therefore, this study examines the effect of green finance on low-carbon economic development by applying various panel estimators including panel threshold model using data set of 30 provincial administrations in China during 2008–2020. The statistical results suggest that green finance significantly stimulates low-carbon economic development based on a carbon emission and emission intensity perspective. Green finance is more effective in promoting low-carbon economic development in the mid-western areas than in the eastern areas, while it is more effective in less economically developed areas than economically developed areas. Green finance is primarily responsible for driving low-carbon economic development, which is accomplished mainly by stimulating industrial structure upgrading and science and technology investment scale. The threshold outcome reveals that when green finance levels cross a certain threshold, their contribution to low-carbon economic development decreases. These findings offer valuable policy implications.

Date: 2023
References: Add references at CitEc
Citations: View citations in EconPapers (3)

Downloads: (external link)
http://hdl.handle.net/10.1080/1331677X.2023.2183421 (text/html)
Access to full text is restricted to subscribers.

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:taf:reroxx:v:36:y:2023:i:3:p:2183421

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/rero20

DOI: 10.1080/1331677X.2023.2183421

Access Statistics for this article

Economic Research-Ekonomska Istraživanja is currently edited by Marinko Skare

More articles in Economic Research-Ekonomska Istraživanja from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().