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Local official turnover, business environment, and innovation and entrepreneurship

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  • Yu, Yang
  • Feng, Lina

Abstract

Based on panel data at the prefecture-level city level in China, this study investigates the impact of local official turnover on innovation and entrepreneurship effectiveness in their jurisdictions. The findings reveal that local official turnover has a significantly positive effect on innovation and entrepreneurship outcomes, with this effect being more pronounced when the Party Secretary changes. Furthermore, the business environment positively influences innovation and entrepreneurship effectiveness but weakens the direct enhancing effect of local official turnover. Fiscal expenditure on science and technology mediates the relationship between local official turnover and innovation and entrepreneurship outcomes.

Suggested Citation

  • Yu, Yang & Feng, Lina, 2025. "Local official turnover, business environment, and innovation and entrepreneurship," Finance Research Letters, Elsevier, vol. 84(C).
    • Handle: RePEc:eee:finlet:v:84:y:2025:i:c:s1544612325010360
    DOI: 10.1016/j.frl.2025.107778
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    References listed on IDEAS

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