The (in)effectiveness of financial consumer protection: Quasi-experimental evidence from consumer finance in China

IF 4.8 2区 经济学 Q1 BUSINESS, FINANCE
Yufei Xia, Zhiyin Han, Qiong Zheng, Xiaoli Yang
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引用次数: 0

Abstract

The booming consumer finance sector has grappled with internal and external challenges, which call forth strong regulatory responses to financial consumer protection (FCP). Existing studies, however, have explored the economic consequences of FCP from a macro or meso perspective and failed to evaluate the overall effectiveness of the FCP framework. To remedy this, we collected a novel dataset from an online complaint platform in China, which included over 12,000 real-world complaints from March 2019 to September 2022. Built on the dataset, we employ a regression discontinuity in time approach to examine the effect of a representative FCP policy (i.e., Implementation Measures of the People's Bank of China for Protecting Financial Consumers' Rights and Interests) on the average rating of the consumers' perception of dispute resolution. We confirm the effectiveness of the FCP policy in improving dispute resolution, and the results remain robust for a series of tests. Moreover, the effectiveness of the FCP policy varies in different aspects of perceptions and complaint topics. The heterogeneous analysis demonstrates that first-mover and foreign-shareholding consumer finance companies are more responsive to the Measure. Finally, regulatory punishment and media attention are two channels in which FCP policy benefits consumers' perception of dispute resolution. We further discuss some important policy and managerial implications.
金融消费者保护的(不)有效性:中国消费金融的准实验证据
蓬勃发展的消费金融行业一直在努力应对内部和外部的挑战,这就要求对金融消费者保护(FCP)采取强有力的监管措施。然而,现有研究都是从宏观或中观角度探讨金融消费者保护的经济后果,未能评估金融消费者保护框架的整体有效性。为了弥补这一不足,我们从中国的一个在线投诉平台上收集了一个新颖的数据集,其中包括 2019 年 3 月至 2022 年 9 月期间超过 12,000 起真实世界的投诉。在该数据集的基础上,我们采用时间不连续回归方法,考察了具有代表性的 FCP 政策(即《中国人民银行保护金融消费者权益实施办法》)对消费者对争议解决感知的平均评分的影响。我们证实了 FCP 政策在改善争议解决方面的有效性,并且其结果在一系列检验中保持稳健。此外,FCP 政策在不同认知和投诉主题方面的效果也不尽相同。异质性分析表明,先行者和外资持股的消费金融公司对《措施》的反应更为积极。最后,监管处罚和媒体关注是 FCP 政策有利于消费者对争议解决的认知的两个渠道。我们进一步讨论了一些重要的政策和管理意义。
本文章由计算机程序翻译,如有差异,请以英文原文为准。
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来源期刊
Pacific-Basin Finance Journal
Pacific-Basin Finance Journal BUSINESS, FINANCE-
CiteScore
6.80
自引率
6.50%
发文量
157
期刊介绍: The Pacific-Basin Finance Journal is aimed at providing a specialized forum for the publication of academic research on capital markets of the Asia-Pacific countries. Primary emphasis will be placed on the highest quality empirical and theoretical research in the following areas: • Market Micro-structure; • Investment and Portfolio Management; • Theories of Market Equilibrium; • Valuation of Financial and Real Assets; • Behavior of Asset Prices in Financial Sectors; • Normative Theory of Financial Management; • Capital Markets of Development; • Market Mechanisms.
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