Artificial intelligence, digital finance, and green innovation

IF 5.5 2区经济学 Q1 BUSINESS, FINANCE

Global Finance Journal Pub Date : 2024-12-26 DOI:10.1016/j.gfj.2024.101072

Yang Song , Yue Zhang , Zhipeng Zhang , Jean-Michel Sahut

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引用次数: 0

Abstract

The high risks and uncertainties inherent in green innovation present challenges for traditional financial tools. Against this backdrop, AI has the potential to enhance both corporate green innovation efforts and financial efficiency by leveraging its strengths in data analysis and risk prediction. Nevertheless, the specific impacts and underlying mechanisms of AI's influence remain insufficiently explored. This study employs a two-way fixed-effects model to analyze data from 688 Chinese A-share companies from 2011 to 2020 to explore how AI influences corporate green innovation mechanisms. Our findings reveal that AI drives green innovation, mainly by enhancing digital finance. Moreover, we investigate AI's facilitating effects on green innovation across four dimensions: digital finance coverage, corporate cash flow, corporate growth, and regional environmental quality. The results indicate that AI contributes significantly to green innovation, especially within regions characterized by advanced digital finance, firms with abundant free cash flow, high-growth companies, and areas with lower environmental quality. These findings provide useful guidance for businesses and policymakers seeking to harness AI and digital finance to effectively drive green innovation.

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来源期刊

Global Finance Journal BUSINESS, FINANCE-

CiteScore

7.30

自引率

13.50%

发文量

106

审稿时长

53 days

期刊介绍： Global Finance Journal provides a forum for the exchange of ideas and techniques among academicians and practitioners and, thereby, advances applied research in global financial management. Global Finance Journal publishes original, creative, scholarly research that integrates theory and practice and addresses a readership in both business and academia. Articles reflecting pragmatic research are sought in areas such as financial management, investment, banking and financial services, accounting, and taxation. Global Finance Journal welcomes contributions from scholars in both the business and academic community and encourages collaborative research from this broad base worldwide.