Research On The Influence Of Financial Development On The Total Factor Productivity Of Listed Companies

Under the current background of China's economy entering the new normal,the traditional economic growth model that relies on demographic dividends,high investment and high exports can no longer be sustained.To maintain high-quality economic growth and sustainable development,we must achieve a comprehensive increase in total factor productivity.In the modern economic system,financial institutions have provided enterprises with various financial products and services to meet their financing needs and promote their sustainable development.As the main body of market economic activities,the size of the production efficiency of enterprises is crucial to the sustained growth of the macro economy.Therefore,it is of great practical significance to study the relationship between financial development and the total factor productivity of enterprises and its impact mechanism.This article takes 2008-2017 Shanghai and Shenzhen A-share listed companies as a sample,calculates the total factor productivity of listed companies using the LP method and GMM method,and studies the financial development on the total factor productivity of enterprises from two dimensions: financial scale and financial efficiency influences.First,empirical analysis shows that both the expansion of financial scale and the improvement of financial efficiency can significantly promote the growth of total factor productivity of enterprises.Further using the panel quantile regression model,it is found that with the gradual rise of corporate total factor productivity,the role of financial development in promoting corporate total factor productivity is gradually weakening.Secondly,using the mediation effect model to test the impact mechanism,it was found that financial development will promote the growth of total factor productivity of enterprises by alleviating their financing constraints and reducing their agency costs.Finally,from the perspective of the type of property rights of enterprises,the role of financial development in promoting the total factor productivity of non-state-owned enterprises is more obvious than that of state-owned enterprises.From the perspective of the regional legal environment,the role of financial development in promoting total factor productivity of enterprises is even more pronounced in regions with good legal environments.The research in this article not only expands the research area of total factor productivity,but also effectively links macro finance with the real economy.The research in this article confirms that financial development will indeed promote the improvement of corporate production efficiency.The research in this paper confirms that financial development will indeed promote the improvement of enterprise production efficiency.Therefore,in order to achieve high-quality and high-efficiency growth of China's economy,government departments should further deepen financial supply-side reforms and raise the level of financial development.