Research On The Impact Of Free Trade Zone On Corporate TFP

TFP has repeatedly appeared in government work reports and plans at all levels in China,which fully reflects the high attention paid by the CPC Central Committee and the state to the improvement of TFP.However,the TFP of listed companies in China is still facing the dilemma of insufficient growth motivation.How to overcome the low efficiency of resource allocation and promote the growth of TFP is not only an important means to enhance the competitiveness of enterprises and promote the upgrading of enterprises,but also an important way to promote the high quality of the overall economy.Free trade area of the construction of the target is not only by the enterprises in the institutional innovation to expand opening to the outside world,through further play to the free trade area competition brought by the incentive effect,knowledge spillover effect and so on,become a leader in the development of our country’s economic quality and efficient power free trade zone,to achieve quality,and the efficiency of the national economy,and also is one of the important goals of free trade area construction.In this context,it is crucial and important to study whether the establishment of FTZ can empower the high-quality development of China’s economy by improving TFP of enterprises,both for the development of enterprises and for the operation of China’s overall economy.Through the review of existing literature,it is found that there are few studies on the direct relationship between FTZ policy and enterprise TFP,and few scholars have made in-depth exploration on the relationship between FTZ policy and enterprise TFP.In this paper,a multi-period differential difference model is used to estimate the effect and path of FTZ establishment on enterprise TFP.The results show that the establishment of FTZ can positively promote enterprise TFP.FTZ mainly affect Corporate TFP by alleviating enterprises’ financing constraints,strengthening industry competition,and promoting regional marketization process.Further research shows that compared with inland FTZ,coastal FTZ have a stronger promotion effect on Corporate TFP.Compared with enterprises with low asset-liability ratio,low growth and non-import and export business model,the establishment of FTZ has a greater effect on improving TFP of enterprises with high asset-liability ratio,high growth and import and export business.The research conclusion not only helps enterprises to find the focus of quality reform and bring the breakthrough of efficiency reform,but also finds a new fulcrum for the transformation and development of Chinese economy.