Whether The Belt And Road Initiative Has Boosted Companies’ Physical Investment

At present,under the new normal,China’s economic development begins to transform from speed type to quality type,but at the same time,the trend of financialization also appears in China’s economy,and the excessive development of financialization will lead to the trend of "off real to virtual" in enterprise development.For the entity enterprise,reducing the main business and focusing on financial business is not conducive to the development of the real economy.The setback in the development of the real economy leads to the "hollowing out" trend of enterprises in various industries,leaving the main business operation,resulting in the stagnation of production capacity and the decline of macroeconomic development.Against this historical background,the "Belt and Road" Initiative was formally put forward,which has played a strong role in promoting the sustainable development of China’s economy.The survey shows that the " Belt and Road" Initiative have a great impact on enterprises’ outward investment.However,many enterprises do not pay attention to their own investment structure and whether the "Belt and Road" Initiative can promote their own physical investment.Therefore,this paper will explore the impact of the "Belt and Road" Initiative on the physical investment of enterprise,and analyze its mechanism from the perspective of cost.This paper discusses the policy effect brought by the " Belt and Road" Initiative on enterprises,and uses the difference in difference model(DID)to conduct an empirical study to analyze the influence of the "Belt and Road" Initiative on enterprise entity investment,and explore whether the physical investment cost plays an intermediary role in the influence process.It is found that the "Belt and Road" Initiative has a promoting effect on the entity investment of listed enterprises in the manufacturing industry,which indicates that the "Belt and Road" initiative has an obvious policy effect on promoting the entity investment of enterprises.However,the research finds that the physical investment cost of enterprises has not been reduced in this process.Next,the paper discusses the difference of the "Belt and Road" Initiative’s role in the physical investment of different enterprises according to the nature of property rights and the size of enterprises.Finally,the paper puts forward some policy opinions and suggestions based on the research results.This paper selects all A-share listed manufacturing companies from 2010 to 2021 as samples,takes listed manufacturing companies as examples,and conducts comprehensive analysis on the impact of the "Belt and Road" Initiative on the physical investment of listed manufacturing companies through relevant research methods.