| Enterprise innovation is the driving force to promote sustainable economic development.It is not only affected by internal factors,but also restricted by external environment.Since the financial crisis occurred in 2008,various industries of the real economy have been damaged to varying degrees.At this time,scholars at home and abroad have paid more attention to the fact that financial activities should not be simply regarded as the veil of real economic activities.Financial cycle not only has its own operation rules,but also will be transmitted to micro enterprises,which will have a huge impact on them.However,most of the existing researches focus on the interaction between financial cycle and variables at the macro level,and few focus on financial cycle and micro enterprises.At the same time,enterprise innovation is an important factor to promote the high-quality development of the real economy.Therefore,in order to explore whether there is a "pro-cyclical" feature of enterprise innovation and its internal mechanism,the following studies are carried out in this paper.This paper takes A-share listed companies from 2007 to 2020 as samples,constructs China’s financial cycle index from 1998 to 2020 by BP filtering method,and includes the financial cycle index from 2007 to 2020 into the empirical analysis to explore the impact of financial cycle fluctuations on enterprise innovation and its mechanism.And the degree of sensitivity of the innovation of enterprises with different attributes to the fluctuation of financial cycle.Firstly,this paper uses the two-way fixedeffect model to examine the impact of financial cycle fluctuations on firm innovation and the mechanism of debt financing cost in the process of financial cycle fluctuations on firm innovation.Furthermore,heterogeneity analysis is conducted from the aspects of market competition degree,industry category,territory and enterprise scale.Finally,robustness test and endogeneity test were conducted,and the research conclusions were drawn as follows:The research results show that: on the whole,the financial cycle goes up and the innovation ability of enterprises improves,that is,the enterprise innovation has the characteristics of "pro-cycle".Second,the mechanism between corporate debt financing cost and corporate debt financing cost is established,that is,when the financial cycle goes up,corporate debt financing cost decreases,thus promoting corporate innovation.On the contrary,the financial cycle goes down,financing constraints are intensified,corporate debt financing costs rise,and corporate innovation is inhibited.Thirdly,through the heterogeneity analysis,it is found that the innovation level of enterprises with high market competition degree,high-tech enterprises,Midwest enterprises and small and medium-sized enterprises is more sensitive to the fluctuation of financial cycle.Based on the above conclusions,this paper puts forward relevant policy suggestions to reduce the correlation between enterprise innovation and financial cycle,so as to make the real economy develop healthily and vigorously,and provide some references for micro-enterprises to carry out innovation activities better. |
