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Low-carbon transition, financial constraints and enterprises' new quality productive forces

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  • Li, Zhuan
  • Liu, Jie

Abstract

This paper examines the impact of China's low-carbon city pilot policy on enterprises' new quality productive forces against the backdrop of global climate change. By employing a difference-in-differences model and conducting an empirical analysis on panel data from Shanghai and Shenzhen A-share listed manufacturing enterprises spanning 2008 to 2023, this study evaluates the net effect of the low-carbon city pilot policy on enterprises' new quality productive forces and examines the mediating role of financial constraints in this process. The findings reveal that the low-carbon city pilot policy significantly enhances enterprises' new quality productive forces, with financial constraints playing a partial mediating role in the policy's influence. Furthermore, heterogeneity tests indicate notable variations in policy effects across different industries, with more pronounced impacts observed in low-carbon sectors.

Suggested Citation

  • Li, Zhuan & Liu, Jie, 2025. "Low-carbon transition, financial constraints and enterprises' new quality productive forces," Finance Research Letters, Elsevier, vol. 85(PC).
    • Handle: RePEc:eee:finlet:v:85:y:2025:i:pc:s1544612325013637
    DOI: 10.1016/j.frl.2025.108106
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    References listed on IDEAS

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