Provincial Financial Development, Financial Constraints And Domestic Value Added Rates

In the context of the global value chain development,it is very important to be able to accurately measure the real trade profits of a country’s exports.It is also of great practical significance to tap the influence factors of its change.This paper uses the domestic value-added rate(DVAR)of enterprises to measure the real trade profits of a country’s exports,and studies the changes of DVARs from the perspective of financing constraints and regional financial development.Specifically,there are several questions that this article wants to answer:(1)How much is the DVAR of Chinese enterprises,and how much is the DVAR of ordinary trade enterprises,processing trade enterprises and mixed trade enterprises?(2)How does financing constraints affect the export of DVAR?(3)How does regional financial development affect the export of DVAR?(4)How does the regional financial development adjust the relationship between financing constraints and the DVAR?Based on the merged Chinese National Enterprise Survey and transaction-level customs data over the period of 2002 to 2006,we conduct Tobit model to investigate the above problems.The main conclusions of this paper are as follows:(1)The DVAR of the enterprises has increased from 44.7%in 2002 to 52.63%in 2006.During the sample period,the average DVAR of ordinary trade enterprises,processing trade and mixed trade enterprises were 61.72%,39.23%and 51.78%respectively.(2)In general,the relationship between firm’s financing constraints and DVAR is inverted U-shaped,this inverted U-shaped relationship in the ordinary trade enterprises is the basic symmetry,and in the processing trade enterprises,financing constraints on the export of DVAR are inhibitory effect.(3)The higher the regional financial development,the greater the export of DVAR,and this promotion in the ordinary trade enterprises in the smallest.(4)For the ordinary trading enterprises,the better the regional financial development,the higher the threshold effect of financing constraints,that is,for the low financing constraints of enterprises,regional financial development strengthen the financing constraints on the promotion of DVAR;and for high financing constraints of enterprises,regional financial development mitigates the inhibitory effect of financing constraints on DVAR.For the processing trade enterprises,the regional financial development eases the financing constraints on the inhibition of DVAR.For mixed trade enterprises,the regulation effect of regional financial development between financing constraints and exports of DVAR is not obvious.Finally,according to the conclusion,the corresponding policy enlightenment is put forward.