Research On The Impact Of Fintech On Firms’ Capital-Labor Ratio

The capital-labor ratio of an enterprise can reflect the allocation ratio of capital and labor factors of an enterprise.The improvement of the capital-labor ratio of enterprises can promote the improvement of labor productivity to a certain extent,and has great significance for the industrial transformation and upgrading of enterprises and economic development.Under the background of increasing aging problem and rising labor cost,the traditional business model of low cost labor as a competitive advantage is no longer sustainable.Optimizing allocation of production factors and improving the capital labor ratio of the enterprise is the necessary way for our country to realize highquality economic development.However,at the present stage,the financing environment of domestic enterprises is uneven,many enterprises are subject to a certain degree of financing constraints,which restricts enterprises to carry out automation equipment innovation and industrial upgrading,thus inhibiting the improvement of enterprise capital labor ratio.Fintech has reshaped the existing financial ecology and changed the investment and financing environment of enterprises.Whether the development of fintech can have an impact on the micro behavior of enterprises has gradually become the focus of scholars’ research.Based on this background,this paper studies the relationship between the development of fintech and the capital-labor ratio of enterprises.This paper uses domestic A-share listed manufacturing enterprises from 2006 to2020 as the main research objects.The research contents mainly include the following three aspects: First,on the basis of theoretical analysis,empirical data are used to verify the effect of fintech development on the capital-labor ratio of enterprises;Second,the study examines the role of financing constraints in the process of fintech development’s effect on firms’ capital-labor ratio.Finally,the paper attempts to study whether the impact of fintech development on the capital-labor ratio of enterprises with different natures is different.The findings are as follows:(1)the capital-labor ratio of enterprises can be significantly improved by fintech development;(2)In the process that the development of fintech affects the capital-labor ratio of enterprises,the financing constraints of enterprises may play an intermediary role to some extent.The development of fintech improves the financing environment of enterprises,reduces the financing constraints of enterprises,promotes the substitution of capital and labor,and thus increases the capital-labor ratio of enterprises.(3)Compared with other ownership enterprises,fintech development plays a greater role in promoting the capital-labor ratio of private enterprises;(4)Compared with large-scale enterprises,fintech development plays a greater role in promoting the capital-labor ratio of small and medium-sized enterprises;.The marginal contribution of this paper:(1)The relationship between the development of fintech and the ratio of capital to labor is deeply explored;(2)Theoretical analysis and test of the regulatory role of corporate financing constraints on the relationship between the development of fintech and the ratio of capital to labor;(3)The heterogeneity of fintech’s impact on the capital-labor ratio of enterprises is analyzed,and the existing research is supplemented.This study analyzed and verified the influence of fintech development on the allocation of production factors of enterprises,and provided some references and suggestions for the government to formulate macro-policies,promote the upgrading of enterprises’ industrial institutions,and promote high-quality economic development.