Research On The Impact Of Financial Agglomeration On Regional Innovation Capabilitie

With the rapid development of China’s real economy industry and the development of the financial industry to a certain scale,there has been a spatial adjustment of financial resources and financial institutions in geography,forming the agglomeration of financial elements and financial functions.On the other hand,China is in the transition period from high-speed development to high-quality development,which puts forward higher requirements for technological innovation,and the development of financial agglomeration can have a positive impact on regional technological innovation activities,so exploring the impact of financial agglomeration on regional technological innovation in China can find a development path for building an innovative country in China.This paper firstly elaborates the concepts of financial agglomeration and technological innovation,and describes the mechanism of financial agglomeration affecting regional technological innovation based on industrial agglomeration theory,financial geography theory,and regional innovation system theory.Secondly,this paper selects the panel data of 30 provinces,cities and autonomous regions in China from2009 to 2020 as the research samples,and measures the financial agglomeration level and technological innovation capacity of each region by using the locational entropy index and entropy method,and analyzes the current situation.Again,the impact of financial agglomeration on technological innovation capability is empirically analyzed by constructing benchmark regression models and threshold regression models,and heterogeneity analysis by region and industry is conducted on the basis of the full sample.Finally,the impact mechanism of financial agglomeration to promote regional innovation capability is analyzed,and financial scale,financial efficiency and financial structure are used as mediating variables to test the mediating effect.It is found that(1)the effect of financial agglomeration on regional technological innovation is significantly positive and nonlinear during the sample period,and there is a threshold effect.When financial agglomeration is used as the threshold variable,there is a single threshold,and the marginal effect of financial agglomeration to enhance regional innovation when the level of financial agglomeration is below the threshold is smaller than that when the level of financial agglomeration is above the threshold.(2)There is regional heterogeneity in the impact of financial agglomeration on regional innovation.The financial agglomeration phenomenon in the eastern and central regions can significantly improve their technological innovation levels,and the marginal effect in the central region is larger than that in the eastern region,while the financial agglomeration effect in the western region is not significant.(3)There is industry heterogeneity in the impact of financial agglomeration on regional innovation,and the agglomeration of banking industry,insurance industry and securities industry can all produce technological innovation effects,specifically,the insurance industry is larger than the banking industry and securities industry.(4)The level of economic development,the degree of openness to the outside world and the level of government spending have significant positive effects on regional technological innovation,while the level of information technology inhibits the development of regional technological innovation.(5)Financial agglomeration can promote regional technological innovation by expanding financial scale,improving financial efficiency,and optimizing financial structure,and the mediating effects are financial scale,financial structure,and financial efficiency in descending order.Finally,in response to the findings of this paper,corresponding policy recommendations are proposed,namely,accelerating the construction of financial agglomeration and giving full play to the financial agglomeration effect;promoting the regional differentiated development of financial industry agglomeration and technological innovation by tailoring policies to local conditions;strengthening regional connectivity and breaking financial barriers;further optimizing the structure of financial industry and promoting the diversified development of financial market;and actively implementing supporting measures to support regional innovation synergy.