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Implementation of antitrust law, green innovation incentives, and alleviation of corporate financial constraints

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  • Bu, Su
  • Zhu, Mengni

Abstract

Against the backdrop of high-quality development and the "dual carbon" goals, how to enhance corporate green innovation through improvements in the institutional environment has become an issue requiring urgent attention. Based on data from A-share listed companies in China from 2014 to 2023, this paper systematically examines the impact of antitrust law enforcement on incentives for corporate green innovation, introducing the alleviation of financial constraints as a moderating variable. The findings are as follows: First, the implementation of antitrust law can significantly enhance incentives for corporate green innovation, and this conclusion is validated by multiple robustness checks and endogeneity analyses. Second, heterogeneity analysis indicates that the positive effect of antitrust law enforcement on green innovation incentives is more pronounced in manufacturing enterprises and large-scale firms. Third, the moderating effect analysis reveals that the alleviation of financial constraints plays a significant regulatory role in the relationship between antitrust law enforcement and green innovation incentives. The conclusions of this study provide valuable references for improving antitrust policies, advancing green finance development, and promoting corporate green innovation.

Suggested Citation

  • Bu, Su & Zhu, Mengni, 2026. "Implementation of antitrust law, green innovation incentives, and alleviation of corporate financial constraints," Finance Research Letters, Elsevier, vol. 87(C).
    • Handle: RePEc:eee:finlet:v:87:y:2026:i:c:s1544612325023207
    DOI: 10.1016/j.frl.2025.109071
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    References listed on IDEAS

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