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Party organization embedding, government-business connections, and corporate access to finance

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  • Zhao, Miaoli
  • Wang, Peng

Abstract

This paper conducts an empirical analysis based on financial data from non-financial listed companies in China from 2009 to 2023, with a focus on examining the mechanisms through which Party organization embedding and government-business connections affect corporate financial access. The research findings indicate: First, both Party organization embedding and government-business connections enhance firms’ financial access; second, in the transmission path through which government-business connections influence corporate financial access, Party organization embedding demonstrates a significant moderating effect; third, compared to private enterprises (PEs), the impact of government-business connections on the financial access of state-owned enterprises (SOEs) is more pronounced.

Suggested Citation

  • Zhao, Miaoli & Wang, Peng, 2025. "Party organization embedding, government-business connections, and corporate access to finance," Finance Research Letters, Elsevier, vol. 86(PA).
    • Handle: RePEc:eee:finlet:v:86:y:2025:i:pa:s1544612325015302
    DOI: 10.1016/j.frl.2025.108276
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    References listed on IDEAS

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    1. Da Gao & Yi Li & Linfang Tan, 2024. "Can environmental regulation break the political resource curse: evidence from heavy polluting private listed companies in China," Journal of Environmental Planning and Management, Taylor & Francis Journals, vol. 67(13), pages 3190-3216, November.
    2. Wan, Mengfei & Li, Li, 2025. "Impact of political connections on constructing a unified national market: Evidence from inter-regional capital flows," International Review of Financial Analysis, Elsevier, vol. 104(PA).
    3. Huang, Zhixiong & Lv, Lan & Yang, Ming, 2024. "The effect of political influence on corporate social donations: Evidence from party-building reform in China," International Review of Economics & Finance, Elsevier, vol. 93(PA), pages 1483-1493.
    4. Juntao, Liu & Haitao, Liu, 2023. "Government–business relationship and strategic transformation of enterprises: Evidence from China," Finance Research Letters, Elsevier, vol. 58(PD).
    5. repec:eme:mfppss:mf-10-2021-0519 is not listed on IDEAS
    6. Shilei Hu & Xiaohong Wang, 2021. "The Origin of Proactive Environmental Corporate Social Responsibility (ECSR) of Large Firms: Institutional Embeddedness—Driven, Family Involvement-Promoted, or Resource-Dependent?," Sustainability, MDPI, vol. 13(3), pages 1-23, January.
    7. Sahrian Aditya Rahmatulloh & Nadia Anridho & Sri Ningsih & Khairul Anuar Kamarudin, 2025. "Do Politically Connected Firms Perform Better in Carbon Emission Performance? Evidence From Indonesian Firms," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 32(4), pages 4358-4371, July.
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    1. Hernán Darío Cañola & Gersson F. B. Sandoval & Nicole Schwantes-Cezario & Gabriela Pitolli Lyra, 2026. "Wood Waste Management and Life Cycle Assessment (LCA): A Circular Economy Approach Embracing Social Inclusion," Circular Economy and Sustainability, Springer, vol. 6(2), pages 1-33, April.

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