IDEAS home Printed from https://ideas.repec.org/a/taf/apeclt/v33y2026i1p64-70.html

Financialization of the firms and between-firm inequality: evidence from China

Author

Listed:
  • Xu Si
  • Yulin Liu

Abstract

In this paper, we investigate the distributional effects of the financialization of firms from the perspective of between-firm inequality. Using financial statement data of nonfinancial firms listed on China’s A-share stock market, we find that the financialization of firms significantly increases the dispersion of employee wage between firms. Mechanism analysis shows the financialization of firms increases between-firm inequality through the larger increasing effect on employee wages for high-wage firms through the rent sharing effect. The findings suggest that an increase in wage rent in low-wage firms could be encouraged to relieve the negative effects of financialization on inequality.

Suggested Citation

  • Xu Si & Yulin Liu, 2026. "Financialization of the firms and between-firm inequality: evidence from China," Applied Economics Letters, Taylor & Francis Journals, vol. 33(1), pages 64-70, January.
    • Handle: RePEc:taf:apeclt:v:33:y:2026:i:1:p:64-70
    DOI: 10.1080/13504851.2024.2363986
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/13504851.2024.2363986
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/13504851.2024.2363986?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to

    for a different version of it.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:apeclt:v:33:y:2026:i:1:p:64-70. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/RAEL20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.