{"title":"The spatial effect of financial openness on high-quality economic development: Evidence from provincial-level data in China","authors":"Huan Zheng , Shaofan Wu","doi":"10.1016/j.seps.2024.101987","DOIUrl":null,"url":null,"abstract":"<div><p>Serious environmental pollution challenges have compelled policymakers to replace China's previous crude rapid economic development model with high-quality economic development (HQED) to promote sustainable social progress. Since finance is the core of the modern economy, financial openness (FOPEN) may affect China's HQED. This study uses provincial-level data from 2007 to 2020 as a research sample to examine the relationship between the FOPEN and HQED. We construct indicator models for HQED and FOPEN and analyze the resulting spatiotemporal evolutionary features applying the Dagum Gini coefficient and kernel density estimation. We observe significant overall differences between HQED and FOPEN, which are mainly interregional in origin. In addition, HQED and FOPEN exhibit opposing dynamic evolutionary features, revealing that the polarization of the former (latter) is becoming progressively larger (smaller). With the spatial Durbin model, we demonstrate that FOPEN exerts a positive (negative) direct (indirect) impact on HQED. The subsample test indicates that the influence of FOPEN in the eastern and central regions is similar to the entire sample, while it has only a direct impact in the western region. These findings are validated by a series of robustness tests. Finally, our threshold effect analysis shows that FOPEN has a stronger promotional impact on HQED in regions with more advanced and rational industrial structure. The findings of this study suggest the policymakers should apply supporting policies to enhance the promotional direct effect and relieve the inhibiting indirect effect of FOPEN, and rationally plan local industrial structure upgrading, so as to more efficiently promote HQED.</p></div>","PeriodicalId":22033,"journal":{"name":"Socio-economic Planning Sciences","volume":null,"pages":null},"PeriodicalIF":6.2000,"publicationDate":"2024-06-10","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"0","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"Socio-economic Planning Sciences","FirstCategoryId":"96","ListUrlMain":"https://www.sciencedirect.com/science/article/pii/S0038012124001861","RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"Q1","JCRName":"ECONOMICS","Score":null,"Total":0}
引用次数: 0
Abstract
Serious environmental pollution challenges have compelled policymakers to replace China's previous crude rapid economic development model with high-quality economic development (HQED) to promote sustainable social progress. Since finance is the core of the modern economy, financial openness (FOPEN) may affect China's HQED. This study uses provincial-level data from 2007 to 2020 as a research sample to examine the relationship between the FOPEN and HQED. We construct indicator models for HQED and FOPEN and analyze the resulting spatiotemporal evolutionary features applying the Dagum Gini coefficient and kernel density estimation. We observe significant overall differences between HQED and FOPEN, which are mainly interregional in origin. In addition, HQED and FOPEN exhibit opposing dynamic evolutionary features, revealing that the polarization of the former (latter) is becoming progressively larger (smaller). With the spatial Durbin model, we demonstrate that FOPEN exerts a positive (negative) direct (indirect) impact on HQED. The subsample test indicates that the influence of FOPEN in the eastern and central regions is similar to the entire sample, while it has only a direct impact in the western region. These findings are validated by a series of robustness tests. Finally, our threshold effect analysis shows that FOPEN has a stronger promotional impact on HQED in regions with more advanced and rational industrial structure. The findings of this study suggest the policymakers should apply supporting policies to enhance the promotional direct effect and relieve the inhibiting indirect effect of FOPEN, and rationally plan local industrial structure upgrading, so as to more efficiently promote HQED.
期刊介绍:
Studies directed toward the more effective utilization of existing resources, e.g. mathematical programming models of health care delivery systems with relevance to more effective program design; systems analysis of fire outbreaks and its relevance to the location of fire stations; statistical analysis of the efficiency of a developing country economy or industry.
Studies relating to the interaction of various segments of society and technology, e.g. the effects of government health policies on the utilization and design of hospital facilities; the relationship between housing density and the demands on public transportation or other service facilities: patterns and implications of urban development and air or water pollution.
Studies devoted to the anticipations of and response to future needs for social, health and other human services, e.g. the relationship between industrial growth and the development of educational resources in affected areas; investigation of future demands for material and child health resources in a developing country; design of effective recycling in an urban setting.