IDEAS home Printed from https://ideas.repec.org/a/eee/ecmode/v152y2025ics0264999325002846.html
   My bibliography  Save this article

How does government data openness affect cross-regional capital flow? Evidence from Chinese-listed firms’ off-site investment

Author

Listed:
  • Long, Yongguang
  • Zhang, Xiaoru
  • Wang, Long

Abstract

Transaction cost theory posits that information is a key factor in facilitating enterprise decision-making, yet its validity in the digital age remains to be tested. China's government data openness provides an opportunity to do so. This study examines the impact of government data openness on cross-regional capital flows using data from Chinese-listed companies between 2009 and 2022. We find that government data openness significantly facilitates cross-regional capital flows, with effects particularly pronounced for labor-intensive firms, firms with stronger governance capacity, and those with weaker government–business ties. Mechanism analysis shows that open government data promote capital movement by improving the external business environment and reducing institutional transaction costs. Further, we find that higher-quality data openness and greater local government fiscal transparency amplify these positive effects on cross-regional capital flows.

Suggested Citation

  • Long, Yongguang & Zhang, Xiaoru & Wang, Long, 2025. "How does government data openness affect cross-regional capital flow? Evidence from Chinese-listed firms’ off-site investment," Economic Modelling, Elsevier, vol. 152(C).
    • Handle: RePEc:eee:ecmode:v:152:y:2025:i:c:s0264999325002846
    DOI: 10.1016/j.econmod.2025.107289
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0264999325002846
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.econmod.2025.107289?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to

    for a different version of it.

    More about this item

    Keywords

    ;
    ;
    ;
    ;

    JEL classification:

    • D22 - Microeconomics - - Production and Organizations - - - Firm Behavior: Empirical Analysis
    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
    • G14 - Financial Economics - - General Financial Markets - - - Information and Market Efficiency; Event Studies; Insider Trading
    • H41 - Public Economics - - Publicly Provided Goods - - - Public Goods

    Statistics

    Access and download statistics

    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:eee:ecmode:v:152:y:2025:i:c:s0264999325002846. 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.

    We have no bibliographic references for this item. You can help adding them by using 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: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/inca/30411 .

    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.