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Municipal governor turnovers and targeted poverty alleviation of listed private firms

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  • Zhang, Weidong
  • Zheng, Hongrui
  • Li, Donghui
  • Chen, Zihuang
  • Wu, Kai

Abstract

Based on 7041 firm-year observations from 234 prefecture-level regions in China, this study finds that interregional turnover of municipal governors promotes private firms' participation in the Targeted Poverty Alleviation (TPA) investment program. The effect is more pronounced for firms having stronger political ties, or located in areas with severe poverty, or fiscal stress. Firms investing more in TPA subsequently receive more government subsidies. Further analysis shows that newly appointed governors, especially those transferred from other regions, promote corporate participation through onsite inspections, highlighting the importance of direct government–business interaction.

Suggested Citation

  • Zhang, Weidong & Zheng, Hongrui & Li, Donghui & Chen, Zihuang & Wu, Kai, 2026. "Municipal governor turnovers and targeted poverty alleviation of listed private firms," Emerging Markets Review, Elsevier, vol. 70(C).
    • Handle: RePEc:eee:ememar:v:70:y:2026:i:c:s1566014125001633
    DOI: 10.1016/j.ememar.2025.101414
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    Keywords

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    JEL classification:

    • G38 - Financial Economics - - Corporate Finance and Governance - - - Government Policy and Regulation
    • O16 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Financial Markets; Saving and Capital Investment; Corporate Finance and Governance
    • M14 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Corporate Culture; Diversity; Social Responsibility
    • M48 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting - - - Government Policy and Regulation

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