The Impact Of Green Finance On Economic Growth ——Empirical Evidence Based On Robust Error Estimation Methods

With the rapid economic development,my country is facing severe environmental degradation and resource depletion.The extensive development model that only pursued growth in the past is no longer suitable for the development requirements of the current new normal.Vigorously promoting the development of environmental protection industry and green finance is the only way to explore sustainable development methods and adjust economic structure.Therefore,the impact of my country’s green finance on economic growth is worthy of in-depth analysis.This paper mainly studies the direct impact of my country’s green finance on economic growth and the indirect impact produced through the upgrading of industrial structure.Based on the panel data of 30 provinces and cities in my country from 2007 to 2017,construct a green finance indicator system,analyze the direct impact of green finance on economic growth through the panel regression model,and use the intermediary effect model and the panel threshold model to analyze the indirect impact of green finance on economic growth through the upgrading of the industrial structure.In the analysis process,the robust standard error that corrected the problems of heteroscedasticity between groups,autocorrelation within groups,cross-sectional correlation of the same period,etc.was used to carry out the significance test.Finally,according to the results of empirical analysis,it is concluded that my country’s green finance has a certain degree of direct promotion of economic growth,and can effectively improve the level of economic growth and the quality of economic growth.In addition,green finance can indirectly promote my country’s economy through the upgrading of industrial structure.Based on the results obtained,corresponding policy recommendations are proposed,including increasing government,financial institutions and enterprises’ support for the development of green finance and improving the relationship between green finance and the upgrading of industrial structure.