Financial risk under differences in legal efficiency: An analysis of the moderating effect of judicial transparency

IF 6.9 2区经济学 Q1 BUSINESS, FINANCE

Finance Research Letters Pub Date : 2025-09-18 DOI:10.1016/j.frl.2025.108480

Bin Li , Li Li

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Abstract

With the rapid development of China's financial system and the intensification of regional disparities, the prevention and control of financial risks is facing new institutional challenges. Based on provincial panel data from China spanning 2011 to 2023, this paper empirically examines the impact of rule of law efficiency on financial risks and introduces judicial transparency to explore its moderating role in the relationship between rule of law efficiency and financial risks. The study finds that rule of law efficiency has a significant negative effect on financial risks. In addition, judicial transparency not only helps to reduce financial risks, but also plays a moderating role in the relationship between rule of law efficiency and financial risks. Heterogeneity analysis shows that the negative effect of rule of law efficiency on financial risks is more pronounced in regions with low population density and low levels of social consumption. This paper provides empirical evidence and policy implications for improving regional financial governance systems and the construction of the rule of law environment.

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法律效率差异下的金融风险：司法透明度的调节效应分析

随着中国金融体系的快速发展和地区差异的加剧，金融风险的防控面临着新的制度挑战。本文基于2011 - 2023年中国省级面板数据，实证检验了法治效率对金融风险的影响，并引入司法透明度，探讨其在法治效率与金融风险关系中的调节作用。研究发现，法治效率对金融风险具有显著的负向影响。此外，司法透明不仅有助于降低金融风险，而且在法治效率与金融风险的关系中起着调节作用。异质性分析表明，在人口密度低、社会消费水平低的地区，法治效率对金融风险的负面影响更为明显。本文为完善区域金融治理体系、构建法治环境提供了实证依据和政策启示。

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

Finance Research Letters BUSINESS, FINANCE-

CiteScore

11.10

自引率

14.40%

发文量

863

期刊介绍： Finance Research Letters welcomes submissions across all areas of finance, aiming for rapid publication of significant new findings. The journal particularly encourages papers that provide insight into the replicability of established results, examine the cross-national applicability of previous findings, challenge existing methodologies, or demonstrate methodological contingencies. Papers are invited in the following areas: Actuarial studies Alternative investments Asset Pricing Bankruptcy and liquidation Banks and other Depository Institutions Behavioral and experimental finance Bibliometric and Scientometric studies of finance Capital budgeting and corporate investment Capital markets and accounting Capital structure and payout policy Commodities Contagion, crises and interdependence Corporate governance Credit and fixed income markets and instruments Derivatives Emerging markets Energy Finance and Energy Markets Financial Econometrics Financial History Financial intermediation and money markets Financial markets and marketplaces Financial Mathematics and Econophysics Financial Regulation and Law Forecasting Frontier market studies International Finance Market efficiency, event studies Mergers, acquisitions and the market for corporate control Micro Finance Institutions Microstructure Non-bank Financial Institutions Personal Finance Portfolio choice and investing Real estate finance and investing Risk SME, Family and Entrepreneurial Finance