Research On The Impact Of Financial Development On China's Green Total Factor Productivity

With the continuous growth of China's economy,problems such as energy consumption and environmental pollution have become increasingly serious.How to achieve coordination and unification with the ecological environment in the process of economic growth has become an urgent problem to be solved in China.China's economic growth mainly comes from the growth of total factor productivity,the improvement of green total factor productivity,which takes into account environmental factors such as energy consumption and pollution emissions,is an important driving force for sustainable development.The key to achieving green total factor productivity growth is innovation in green technologies.However,the research and development of green technology has the characteristics of high risk and long return period,which requires the financial system to play its role of capital support and risk diversification.At present,China's financial system needs to be improved,the financing channels for research and development of corporate green technologies are facing tight constraints,so financial development will not necessarily promote the improvement of green total factor productivity,and may also have an inhibitory effect on it.This article analyzes the impact of financial development on green total factor productivity and explores how to improve the efficiency of the financial system to serve the development of green economy,so as to promote the process of green transition in China.This article firstly the mechanism of financial development on green total factor productivity from three aspects of financial scale,financial efficiency and financial agglomeration.Then,based on the panel data of 30 provinces and cities from 2005 to 2018,the improved CRITIC comprehensive evaluation method is used to measure the financial development level of each region in China,use the ML index of the SBM directional distance function to measure the green total factor productivity in various regions of China,and further break it down into green technology efficiency and green technology innovation,and compare and analyze the financial development level and green total factor at the national and regional levels,Then on the basis of theoretical analysis,the estimation method of dynamic panel model system GMM is used to further empirically test the influence of financial development on green total factor productivity,and to identify the internal action path.The results show that:(1)During the sample period,China's green total factor productivity has been on the rise in the past few years,green technological progress is an important driving force for the growth of green total factor productivity.At the same time,it can also be seen that the green total factor productivity of the provinces and cities in the eastern,central,and western regions presents greater regional heterogeneity.The eastern provinces have a faster growth rate,and the central and western regions have to be increased;(2)At the national level,financial development has a significant role in promoting green total factor productivity,which is mainly reflected in promoting the progress of green technology;(3)At the regional level,there are obvious regional differences in the impact of financial development on g green total factor productivity,financial development in the eastern region promotes the growth of green total factor productivity,while that in the central and western regions hinders the growth of green total factor productivity.And the internal path is mainly reflected in the promotion of green total factor productivity by influencing green technological progress in the eastern region,while the financial development of the central and western regions has a restraining effect on green technological progress.At last,based on theoretical analysis and empirical results,this article proposes the following suggestions: deepen the reform of the financial system and coordinate regional financial development;vigorously support green industries and improve the technological innovation system;improve the efficiency of resource allocation and reduce the difficulty of enterprise financing.