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Can FinTech Development Curb Agricultural Nonpoint Source Pollution?

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  • Song Jiang

    (School of Economics and Finance, Chongqing University of Technology, Chongqing 400054, China
    Chongqing Research Center of Labor Economics and Human Resources, Chongqing 400054, China)

  • Shuang Qiu

    (School of Economics and Finance, Chongqing University of Technology, Chongqing 400054, China)

  • Hong Zhou

    (Chongqing 208 Survey and Design Institute, Chongqing 400700, China)

  • Meilan Chen

    (International Business School, Guangdong University of Finance and Economics, 1 Xuehai Road, Foshan 528100, Guangdong, China)

Abstract

The green development of FinTech empowerment has become a compelling theme in economic development. In this study, based on the weighted least squares (WLS) and threshold regression methods of cross-sectional data, we empirically examine the impact of FinTech development on agricultural nonpoint source (NPS) pollution, a major cause of impaired surface water quality. Our results show that there is an inverted “U” shape relationship between the development of FinTech and agricultural NPS pollution. That is, after crossing a “threshold value”, the level of FinTech development can curb agricultural NPS pollution. At the structural level, the availability of FinTech services, the FinTech infrastructure, and the agricultural NPS pollution also have an inverted “U” shape relationship. At the threshold effect, in the developing stage of an agricultural economy, the overall level of FinTech development, the use of FinTech services, the availability of FinTech services, and the FinTech infrastructure have an inverted “U” shape relationship with agricultural NPS pollution. On the other hand, in the developed stage of an agricultural economy, the impact of FinTech development and its structure on agricultural NPS pollution is insignificant. Hence, we can conclude that FinTech development can help reduce agricultural NPS pollution in under-developed regions. However, due to the fact that a “U” shape relationship always exists between FinTech service quality and agricultural NPS pollution, the quality of FinTech service should be the main focus to reduce agricultural NPS pollution more effectively.

Suggested Citation

  • Song Jiang & Shuang Qiu & Hong Zhou & Meilan Chen, 2019. "Can FinTech Development Curb Agricultural Nonpoint Source Pollution?," IJERPH, MDPI, vol. 16(22), pages 1-22, November.
    • Handle: RePEc:gam:jijerp:v:16:y:2019:i:22:p:4340-:d:284451
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    Cited by:

    1. Lingyan Xu & Zhuoyun Zhou & Jianguo Du, 2020. "An Evolutionary Game Model for the Multi-Agent Co-Governance of Agricultural Non-Point Source Pollution Control under Intensive Management Pattern in China," IJERPH, MDPI, vol. 17(7), pages 1-19, April.
    2. Xiang Gao & Binglong Li & Song Jiang & Yunbin Nie, 2021. "Can Increasing Scale Efficiency Curb Agricultural Nonpoint Source Pollution?," IJERPH, MDPI, vol. 18(16), pages 1-17, August.
    3. Guobin Geng & Yang Shen & Chenguang Dong, 2024. "The Impact of Green Finance on Agricultural Non-Point Source Pollution: Analysis of the Role of Environmental Regulation and Rural Land Transfer," Land, MDPI, vol. 13(9), pages 1-28, September.
    4. Shen Yang & Zhang Xiuwu, 2024. "Cleaner Production: Analysis of the Role and Path of Green Finance in Controlling Agricultural Nonpoint Source Pollution," Economics - The Open-Access, Open-Assessment Journal, De Gruyter, vol. 18(1), pages 1-13.
    5. Bryane Michael & Nataliya Koroleska & Andy Tai & David Wai Ho Wong, 2022. "A critical look at using financial technology policy to promote the sustainable development goals," Sustainable Development, John Wiley & Sons, Ltd., vol. 30(6), pages 1911-1920, December.
    6. Phemelo Tamasiga & Helen Onyeaka & El houssin Ouassou, 2022. "Unlocking the Green Economy in African Countries: An Integrated Framework of FinTech as an Enabler of the Transition to Sustainability," Energies, MDPI, vol. 15(22), pages 1-28, November.

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