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Reform of the administrative approval system, regional financial development, and corporate performance: An exploration of a market-oriented governance mechanism

Author

Listed:
  • Liu, Tao
  • Wu, Han
  • Zheng, Yinglong
  • Cui, Ziyi

Abstract

This study uses data from Chinese listed companies between 2007 and 2022 as a sample to examine the impact of administrative approval system reforms and regional financial development on corporate performance. The findings indicate that regional financial development significantly enhances corporate performance. Moreover, administrative approval system reforms moderate the effect of regional financial development on corporate performance, and this moderating effect exhibits heterogeneity across different corporate characteristics. Additionally, corporate financialization plays a mediating role in the relationship between regional financial development and corporate performance.

Suggested Citation

  • Liu, Tao & Wu, Han & Zheng, Yinglong & Cui, Ziyi, 2025. "Reform of the administrative approval system, regional financial development, and corporate performance: An exploration of a market-oriented governance mechanism," Finance Research Letters, Elsevier, vol. 80(C).
    • Handle: RePEc:eee:finlet:v:80:y:2025:i:c:s1544612325006336
    DOI: 10.1016/j.frl.2025.107373
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    References listed on IDEAS

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