Research On The Impact Of Digital Inclusive Finance On Regional Innovation

In the new era,innovation has been put in the first place among the development concepts proposed by China,and innovation has become the key to opening the new direction of China’s economic development.After the emergence of digital inclusive finance,it has expanded the financing channels of enterprises in the region,alleviated the information asymmetry between enterprises in the region,and reduced the financing costs of enterprises in the region.Therefore,it has greatly stimulated the innovation activities of enterprises in the region and improved the innovation level of the region.On this basis,this paper studies the impact of digital inclusive finance on regional innovation,aiming to explore the characteristics of the impact of digital inclusive finance on regional innovation from the perspective of time and space.This paper uses panel data from 31 provinces,autonomous regions and municipalities in China from 2011 to 2020 to conduct an empirical study on the impact of digital inclusive finance on regional innovation.First,Moran’s I test and Geary’s C test are used to test the spatial characteristics of regional innovation.Second,use the spatial panel data model to conduct regression analysis and estimate the direct,indirect and total effects of digital inclusive finance on regional innovation.Thirdly,the spatial effects are decomposed regionally to investigate their spatial differentiation characteristics.In particular,the spatial spillover effects are decomposed spatially according to the adjacent order,and the change characteristics of the spatial spillover effects from first-order neighbors to high-order neighbors are investigated.Finally,the impulse response function of regional innovation is estimated by using the local projection(LP)method,and the characteristics of the impact of digital inclusive finance on regional innovation over time after excluding spatial effects are investigated.The empirical results show that the development of digital inclusive finance in China’s 31 provinces,autonomous regions and municipalities has a significant role in promoting the innovation level of the region.Digital inclusive finance has a negative spatial spillover effect on regional innovation.The reason is that the development of regional digital inclusive finance will attract the knowledge,technology,capital and other elements of the neighboring regions,and the cross regional reallocation of elements will lead to the shortage of resources for the innovation and development of the neighboring regions.Regional innovation has a positive spatial spillover effect,and there is a feedback mechanism between regions.The reason is that the widespread use of the Internet expands the boundaries of innovation activities,and the flow of innovation elements across regions brings about knowledge spillovers.Based on the provincial spatial weight matrix of the first order adjacency used in this paper,the spatial spillover effect of digital inclusive finance is within the second order neighboring provinces.In the face of the improvement of digital inclusive finance,the regional innovation level of the eastern region can respond quickly,and has a longer and more obvious effect.Finally,according to the research conclusion,in order to provide a better policy environment for digital inclusive finance to promote regional innovation and promote the further improvement of the overall regional innovation level,this paper puts forward relevant policy recommendations.