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The impact of green investment policies on the development of new energy enterprises: Analysis based on heterogeneity and threshold effects

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  • Zhang, Hu
  • Wei, Wei

Abstract

This study explores the impact of green investment policies on the development of China’s new energy industry (2016-2022) using heterogeneity analysis and the threshold effect model. Findings reveal that green investment policies, including financial subsidies and green credit, significantly boost enterprises' operating income, R&D investment, and profitability. The policy effect exhibits a nonlinear threshold, with stronger effects at higher policy intensities. Additionally, the effect is more pronounced for companies with low financing constraints. The results offer valuable insights for optimizing green investment policy design and improving policy precision.

Suggested Citation

  • Zhang, Hu & Wei, Wei, 2025. "The impact of green investment policies on the development of new energy enterprises: Analysis based on heterogeneity and threshold effects," Finance Research Letters, Elsevier, vol. 83(C).
    • Handle: RePEc:eee:finlet:v:83:y:2025:i:c:s1544612325009626
    DOI: 10.1016/j.frl.2025.107703
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    References listed on IDEAS

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