cover
Article Menu

Journal Browser
Vol. 4 (2025)
Vol. 3 (2024)
Vol. 2 (2023)
Vol. 1 (2022)
Online First
Journal Insights

Frequency: Quarterly

Time to first decision: 2.4 Weeks

Submission to publication: 10 Weeks

Acceptance rate: 26 %

E-ISSN: 2811-0943

Announcements more >>
28 December 2024 Article Processing Charges (APCs) are waived until the end of 2026
27 November 2024 Journal of Economic Analysis Now Listed in the Committee on Publication Ethics (COPE)
Blog more >>
15 February 2025 Welcome Dr. Cemil Selcuk to the Editorial Board of Journal of Economic Analysis
8 December 2024 Welcome Address to Alain Bultez as Advisory Board Member
29 November 2024 Call for Editorial Board Members
Recommend Articles
article figure The high price of green energy: Adjustments in general equilibrium
article figure Housing Prices and Land Use Regulations: A Study of 250 Major US Cities
article figure Critical condition for deposit insurance to partially or fully substitute for raising capital under cyclical economic environment
article figure Manufacturing Cost Estimation Using Piecewise Function Approaches
Related Journal

Economic Analysis Letters

Open Access Journal Article

How does Fintech Drive the Growth of New Quality Productive Forces of Enterprises in China?

by Xia Liu a ,  Jiayang Meng a ,  Jiaqian Liu a  and  Min Bai b,*
a
School of Business, Zhengzhou University, Zhengzhou, China
b
School of Accounting, Finance and Economics, University of Waikato, Hamilton, New Zealand
*
Author to whom correspondence should be addressed.
JEA  2025 4(2):108; https://doi.org/10.58567/jea04020011
Received: 27 February 2025 / Accepted: 8 April 2025 / Published Online: 16 April 2025
View Full-Text
Download PDF

Abstract

Fintech has revolutionized financial service models, but can it effectively address enterprise financing challenges and provide critical support for technological innovation—a cornerstone of new quality productive forces? Leveraging data from A-share listed companies (2011–2023), this study constructs a regional fintech development index based on the distribution of fintech firms across China and evaluates its impact on enterprise-level productive forces. The findings demonstrate that fintech significantly fosters new productive forces, a conclusion robust to instrumental variables, Heckman two-stage analysis, and alternative variable tests. Mechanism analysis reveals three key channels: mitigating information asymmetry, alleviating collateral constraints, and enhancing market competition. Heterogeneity analysis further indicates that fintech’s impact is more pronounced among private enterprises, high-tech industries, and firms in eastern regions. As China prioritizes the development of new productive forces, sustained fintech advancement, deeper "data empowerment," and targeted policy measures are essential to ensure finance effectively serves the real economy and underpins high-quality economic growth.

Keywords: Fintech; New Quality Productive Forces of Enterprises; Science and Technology Innovation; High-quality Economic Growth;
Copyright: © 2025 by Liu, Meng, Liu and Bai. This is an open-access article distributed under the terms of the Creative Commons Attribution License (CC BY) (Creative Commons Attribution 4.0 International License). The use, distribution or reproduction in other forums is permitted, provided the original author(s) or licensor are credited and that the original publication in this journal is cited, in accordance with accepted academic practice. No use, distribution or reproduction is permitted which does not comply with these terms.
Cite This Paper
APA Style
Liu, X., Meng, J., Liu, J., & Bai, M. (2025). How does Fintech Drive the Growth of New Quality Productive Forces of Enterprises in China?. Journal of Economic Analysis, 4(2), 108. doi:10.58567/jea04020011
ACS Style
Liu, X.; Meng, J.; Liu, J.; Bai, M. How does Fintech Drive the Growth of New Quality Productive Forces of Enterprises in China?. Journal of Economic Analysis, 2025, 4, 108. doi:10.58567/jea04020011
AMA Style
Liu X, Meng J, Liu J et al.. How does Fintech Drive the Growth of New Quality Productive Forces of Enterprises in China?. Journal of Economic Analysis; 2025, 4(2):108. doi:10.58567/jea04020011
Chicago/Turabian Style
Liu, Xia; Meng, Jiayang; Liu, Jiaqian; Bai, Min 2025. "How does Fintech Drive the Growth of New Quality Productive Forces of Enterprises in China?" Journal of Economic Analysis 4, no.2:108. doi:10.58567/jea04020011

Funding

The Innovation and Entrepreneurship Training Program for college students of Zhengzhou University (Research on the mechanism of fintech to cultivate the new quality productive forces of enterprises) (202410459082) , Social Sciences Research for Colleges and Universities in Henan Province in 2024 (2025-ZZJH-148) , Henan Province Soft Science Research Plan Project (252400410709)

Share and Cite

ACS Style
Liu, X.; Meng, J.; Liu, J.; Bai, M. How does Fintech Drive the Growth of New Quality Productive Forces of Enterprises in China?. Journal of Economic Analysis, 2025, 4, 108. doi:10.58567/jea04020011
AMA Style
Liu X, Meng J, Liu J et al.. How does Fintech Drive the Growth of New Quality Productive Forces of Enterprises in China?. Journal of Economic Analysis; 2025, 4(2):108. doi:10.58567/jea04020011
Chicago/Turabian Style
Liu, Xia; Meng, Jiayang; Liu, Jiaqian; Bai, Min 2025. "How does Fintech Drive the Growth of New Quality Productive Forces of Enterprises in China?" Journal of Economic Analysis 4, no.2:108. doi:10.58567/jea04020011
APA style
Liu, X., Meng, J., Liu, J., & Bai, M. (2025). How does Fintech Drive the Growth of New Quality Productive Forces of Enterprises in China?. Journal of Economic Analysis, 4(2), 108. doi:10.58567/jea04020011

Article Metrics

Article Access Statistics

References

  1. Aghion, P., Blundell, R., Griffith, R., Howitt, P., and Prantl, S. (2005). Competition and innovation: An inverted-U relationship. The Quarterly Journal of Economics, 120(2), 701–728. https://doi.org/10.1093/qje/120.2.701
  2. Allen, F., Qian, J. Q. J., and Gu, X. (2017). An overview of China's financial system. Annual Review of Financial Economics, 9(1), 191–231. https://doi.org/10.1146/annurev-financial-110116-032820
  3. Almeida, H., and Campello, M. (2007). Financial constraints, asset tangibility, and corporate investment. The Review of Financial Studies, 20(5), 1429–1460. https://doi.org/10.1093/rfs/hhm029
  4. Amihud, Y. (2002). Illiquidity and stock returns: Cross-section and time-series effects. Journal of Financial Markets, 5(1), 31–56. https://doi.org/10.1016/S1386-4181(01)00024-6
  5. Anagnostopoulos, I. (2018). Fintech and regtech: Impact on regulators and banks. Journal of Economics and Business, 100, 7–25. https://doi.org/10.1016/j.jeconbus.2018.04.001
  6. Bazarbash, M. (2019). Fintech in financial inclusion: Machine learning applications in assessing credit risk. International Monetary Fund. https://doi.org/10.5089/9781484391565.001
  7. Bai, M. (2021). Are firm characteristics priced differently between opposite short‐sales regimes?. International Finance, 24(1), 95-118.https://doi.org/10.1111/infi.12379
  8. Bai, M., Cai, J., and Qin, Y. (2021). Ownership discrimination and private firms financing in China. Research in International Business and Finance, 57, 101406. https://doi.org/10.1016/j.ribaf.2021.101406
  9. Bai, M., Dong, F., and Qin, Y. Does Innovating Cash Dividend Smoothing Boost a Firm's Total Factor Productivity?. Available at SSRN 4758474.
  10. Bai, M., and Harith, S. (2023). Measuring SMEs Risk–Evidence from Malaysia. SN Business & Economics, 3(7), 126. https://doi.org/10.1007/s43546-023-00496-3
  11. Bai, M., Ho, L., Lu, Y., and Qin, Y. (2023). Labor protection and dynamic leverage adjustments in the OECD countries. International Review of Economics & Finance, 83, 502-527. https://doi.org/10.1016/j.iref.2022.10.004
  12. Bai, M., and Qin, Y. (2023). SENTIMENT AND INDIVIDUAL STOCK PERFORMANCE: EVIDENCE FROM CHINA. International Journal of Business & Economics (IJBE), 8(1), 9-32. https://doi.org/10.58885/ijbe.v08i1.009.mb
  13. Bai, M., Qin, Y., and Dasgupta, A. (2025). Does waste disclosure waste?. Business Strategy and the Environment, 34(1), 932-944. https://doi.org/10.1002/bse.4030
  14. Bai, M., Qin, Y., and Bai, F. (2024). Dividend policy and firm liquidity under the tax imputation system in Australia. International Journal of Managerial Finance, 20(2), 281-303. https://doi.org/10.1108/IJMF-01-2023-0214
  15. Bai, M., and Zhang, D. (2024). THE VIRTUAL DEGREE OF LEVERAGED CAPITAL WITHIN CHINESE ENTERPRISES. International Journal of Business & Economics (IJBE), 9(1), 67-88. https://doi.org/10.58885/ijbe.v09i1.67.mb
  16. Bai, M., Zhang, D., Dong, F., and Qin, Y. (2025). Cost stickiness and managerial resilience within organizations: evidence from China. International Journal of Managerial Finance. https://doi.org/10.1108/IJMF-04-2024-0242
  17. Bai, M., Zhang, D., and Zhao, W. (2024). Unveiling the driving forces behind high non-performing loans in zombie enterprises: an executive-centric study. International Journal of Managerial Finance. https://doi.org/10.1108/IJMF-09-2023-0434
  18. Cai, W., Bai, M., and Davey, H. (2022). Implementing environmental protection tax in China: an alternative framework. Pacific Accounting Review, 34(3), 479-513. https://doi.org/10.1108/PAR-02-2021-0021
  19. Cerqueiro, G., Ongena, S., and Roszbach, K. (2016). Collateralization, bank loan rates, and monitoring. The Journal of Finance, 71(3), 1295–1322. https://doi.org/10.1111/jofi.12331
  20. Chaney, T., Sraer, D., and Thesmar, D. (2012). The collateral channel: How real estate shocks affect corporate investment. American Economic Review, 102(6), 2381–2409. https://doi.org/10.1257/aer.102.6.2381
  21. Cheng, E., and Chen, J. (2023). Vigorously develop new quality productive forces and accelerate the promotion of Chinese-style modernization. Journal of Contemporary Economic Research, 340(12), 14–23.
  22. Claessens, S., Frost, J., Turner, G., and Zhu, F. (2018). Fintech credit markets around the world: Size, drivers and policy issues. BIS Quarterly Review, September.
  23. Demertzis, M., Merler, S., and Wolff, G. B. (2018). Capital markets union and the fintech opportunity. Journal of Financial Regulation, 4(1), 157–165. https://doi.org/10.1093/jfr/fex016
  24. Frost, J., Gambacorta, L., Huang, Y., Shin, H. S., and Zbinden, P. (2019). BigTech and the changing structure of financial intermediation. Economic Policy, 34(100), 761–799. https://doi.org/10.1093/epolic/eiz007
  25. Fuster, A., Plosser, M. C., Schnabl, P., and Vickery, J. (2019). The role of technology in mortgage lending. The Review of Financial Studies, 32(5), 1854–1899. https://doi.org/10.1093/rfs/hhz022
  26. Gambacorta, L., Huang, Y., Qiu, H., and Wang, J. (2024). How do machine learning and non-traditional data affect credit scoring? New evidence from a Chinese fintech firm. Journal of Financial Stability, 101284.
  27. Gomber, P., Koch, J.-A., and Siering, M. (2017). Digital finance and FinTech: Current research and future research directions. Journal of Business Economics, 87.
  28. Goldstein, I., Jiang, W., and Karolyi, G. A. (2019). To FinTech and beyond. The Review of Financial Studies, 32(5), 1647–1661. https://doi.org/10.1093/rfs/hhz027
  29. Guo, Z., Wang, Y., and Bai, M. (2024). A STUDY OF THE IMPACT OF DIGITAL INCLUSIVE FINANCE ON THE REAL ECONOMY: EVIDENCE FROM CHINA. International Journal of Business & Economics (IJBE), 9(1), 26-47.
  30. Hall, B. H. (2002). The financing of research and development. Oxford Review of Economic Policy, 18(1), 35–51.
  31. Ho, L., Bai, M., Lu, Y., and Qin, Y. (2021). The effect of corporate sustainability performance on leverage adjustments. The British Accounting Review, 53(5), 100989. https://doi.org/10.1016/j.bar.2021.100989
  32. Ho, L., Lu, Y., and Bai, M. (2021). Liquidity and speed of leverage adjustment. Australian Journal of Management, 46(1), 76-109. https://doi.org/10.1177/03128962211006287
  33. Jiang, H., Qin, Y., and Bai, M. (2020). Short-selling threats and real earnings management—international evidence. Journal of International Accounting Research, 19(2), 117-140. https://doi.org/10.2308/jiar-19-2-117
  34. Jiang, Y., Cai, W., and Bai, M. (2023). Does digitalisation policy really help with corporate CE? Evidence from Chinese manufacturing companies. Interdisciplinary Environmental Review, 23(2), 120-145.
  35. Kong, L. L., Bai, M., and Wang, P. (2015). Is disposition related to momentum in Chinese market?. Managerial Finance, 41(6), 600-614.
  36. Meng, Y., Xiong, L., Xiao, L., and Bai, M. (2023). The effect of overseas investors on local market efficiency: evidence from the Shanghai/Shenzhen–Hong Kong Stock Connect. Financial Innovation, 9(1), 42. https://doi.org/10.1186/s40854-023-00460-3
  37. Pierri, N., and Timmer, Y. (2020). Tech in fin before fintech: Blessing or curse for financial stability? International Monetary Fund.
  38. Philippon, T. (2016). The fintech opportunity (No. w22476). National Bureau of Economic Research.
  39. Qin, Y., Pan, G., and Bai, M. (2020). Improving market timing of time series momentum in the Chinese stock market. Applied Economics, 52(43), 4711-4725. https://doi.org/10.1080/00036846.2020.1775769
  40. Qin, Y., Yang, Z., and Bai, M. (2022). Heterogeneous firm-level responses to the US 2018 tariff announcement. International Journal of Managerial Finance, 18(1), 94-117. https://doi.org/10.1108/IJMF-08-2020-0437
  41. Schueffel, P. (2016). Taming the beast: A scientific definition of fintech. Journal of Innovation Management, 4(4), 32–54. https://doi.org/10.24840/2183-0606_004.004_0004
  42. Srivastava, A. (2014). The status and impact of E-finance on developing economy. Golden Research Thoughts, 3(11). https://doi.org/10.2139/ssrn.2539714
  43. Sun, Y., Su, K., Cai, W., and Bai, M. Is transparency in sustainability the fruit of business trust: Evidence from sustainability disclosure?. International Journal of Finance & Economics. https://doi.org/10.1002/ijfe.2782
  44. Tian, L., Tian, W., Wang, J., and Bai, M. (2024). The effect of climate policy uncertainty on stock markets in China. Interdisciplinary Environmental Review, 23(4), 340-357. https://doi.org/10.1504/IER.2024.100408
  45. U.S. Department of the Treasury. (2016, May). Opportunities and challenges in online marketplace lending. https://home.treasury.gov/system/files/206/Opportunities-and-Challenges-in-Online-Marketplace-Lending.pdf
  46. Warren, J. D., Moffitt, K. C., and Byrnes, P. (2015). How big data will change accounting. Accounting Horizons, 29(2), 397–407. https://doi.org/10.2308/acch-51050
  47. Xiong, L., Xiao, L., Bai, M., Qin, Y., and Yang, L. (2023). The religion effect on corporate cash holding in China: Buddhism and Taoism. International Journal of Finance & Economics, 28(4), 4420-4457.
  48. Xiao, L., Bai, M., Qin, Y., Xiong, L., and Yang, L. (2021). Financial slack and inefficient investment decisions in China. Managerial and Decision Economics, 42(4), 920-941. https://doi.org/10.1002/ijfe.2658
  49. Yang, L., Xiao, L., Xiong, L., Wang, J., and Bai, M. (2024). Is “Collaborative Governance” or “Competitive Collusion” the effect of cross-ownership on corporate innovation. China Accounting and Finance Review. https://doi.org/10.1108/CAFR-07-2023-0174
  50. Zhou, D., Zhou, H., Bai, M., and Qin, Y. (2022). The COVID-19 outbreak and corporate cash-holding levels: Evidence from China. Frontiers in Psychology, 13, 942210. https://doi.org/10.3389/fpsyg.2022.942210
  51. Zucker, L. G., and Darby, M. R. (2009). Star scientists, innovation and regional and national immigration. In Entrepreneurship and Openness (137–158). Edward Elgar Publishing. https://doi.org/10.4337/9781848448041.00016