Archive

19 October 2020, Volume 62 Issue 10 Previous Issue    Next Issue

---

For Selected:

Download Citations EndNote Ris BibTeX

Toggle Thumbnails

Select

Management by Objectives and Misallocation of Resources of Local Economic Growth LIU Chun-ji1,GAO Jing2 2020, 62(10): 1-9.  Abstract ( 34 )   Based on the analysis of the institutional basis of management by objectives (M.B.O.) of economic growth in China, this paper discusses the impact of M.B.O. on local economic growth and the consequences of misallocation of resources caused by it from both theoretical and empirical aspects.Theoretical analysis shows that M.B.O is a double-edged sword that can promote local economic growth and lead to local misallocation of resources，while the role of short-term goal is different from that of long-term goal:the main driving force of local economic growth is short-term rather than long-term;the higher the achievement of short-term goals, the more serious the misallocation of local capital is,the achievement of long-term goals will significantly inhibit the misallocation of local capital, while the achievement of long-term and short-term goals has no significant impact on misallocation of local labor. The above conclusion has certain enlightenment significance to the healthy operation of China′s economy. References | Related Articles | Metrics

Select

Is High Value-added the Direction of Manufacturing Industry Upgrading? An Empirical Test of Economic Growth and High Value-added of Manufacturing Industry Development based on Multiple Country Data SHI Dong-hui,ZHUANG Hua,ZHU Xing-bang 2020, 62(10): 21-32.  Abstract ( 24 )   For many years, despite the lack of sufficient theoretical basis and empirical support, the idea that high value-added should be the direction of manufacturing industry upgrading has long occupied the mainstream position in the domestic field of industrial structure research, and it is also an important proposition of government′s industrial policy. Based on the cross-sectional data of 72 countries in 2014 and the panel data of 58 countries from 1997 to 2014, this paper makes a number of empirical tests on the existence of high value-added trends in the process of economic growth and manufacturing industry development, and all the corresponding analysis results do not support this statement. Furthermore, based on the sub-industry panel data of 19 OECD countries from 1995 to 2013, this paper also shows that, at least at the level of the main classes, there is no evidence to confirm that an industry is high (low) value-added in various or most countries, the higher (lower) value-added rate is only the inherent property of a few industries, and economic growth in high value-added industries is not faster than the others. Therefore, this paper holds that although economic growth and industrial structure transformation have many characteristics and even rules to follow, the profit-driven enterprise may not create a so-called high value-added trend, and increasing the value-added rate should not be one of the specific objectives of the government′s industrial upgrading policy. References | Related Articles | Metrics

Select

Can Environmental Regulation Enhance the Division Status in Global Value Chain ? Empirical Evidence from Manufacturing Industry of China HAN Meng-meng1,YAN Dong-sheng2 2020, 62(10): 33-41.  Abstract ( 31 )   Based on the world input-output table provided by WIOD website in 2016 and the panel matching data of China′s manufacturing industry, this paper calculates global value chain division status index of China′s manufacturing industries from 2005 to 2014, and empirically tests the impact of environmental regulations on the division status of China′s manufacturing industry in the global value chain.The results show that, when other control conditions remain unchanged, environmental regulation has a significantly and steadily positive role in promoting division status in manufacturing industry global value chain.The heterogeneity analysis shows that the influence of environmental regulation on the division status of manufacturing industry in the global value chain is also different with different industry factor concentration and pollution degree. Among them, capital intensity has a significantly negative moderating effect on the influence of environmental regulation on the division status in manufacturing industry global value chain, and the degree of industrial pollution has a certain negative moderating effect on the influence of environmental regulation on the division status in manufacturing industry global value chain, but it is not significant.The conclusion shows that we should promote the division of labor status of China′s manufacturing industry in the global value chain through the dynamic correlation between environmental regulation and industrial development, gradually improve the screening criteria for investors, especially foreign investors, to invest in China, and continue to increase the innovation R&D and personnel training, so as to provide solid technical support for the upgrading of global value chain status. References | Related Articles | Metrics

Select

Does China′s Internet Development Promote Domestic Demand or Import？ An Analysis of Spatial and Dynamic Effects based on Provincial Panel Data MA Guang-ming1，XU Jia-lu2 2020, 62(10): 42-52.  Abstract ( 16 )   The rapid development of China′s Internet and the implementation of the concept of “Internet plus” provide strong impetus for China′s economic growth, especially the expansion of the scale of domestic and foreign trade.An interesting question is: under the premise of a certain growth in total demand, does the rapid development of China′s Internet promote import demand or domestic trade?Based on the panel data of 31 provinces and cities from 2002 to 2018, this paper examines the impact of Internet development on China′s import rate from the perspective of time and space by taking the import rate as an index to measure the degree of export-oriented regional demand.The results show that the development of Internet in China in recent years has significantly inhibited the import rate of provinces and cities, and is more inclined to promote domestic demand;regional regression shows that the inhibitory effect is most significant in eastern provinces, followed by central provinces and western provinces.The 10-year rolling regression shows that, with the development of time, the Internet′s inhibition on China′s import rate gradually weakens, turns into a positive role, and the promotion effect gradually increases;taking the freight exchange between national railway administrative regions as a measure of domestic trade, the reverse robustness test also draws a more consistent conclusion.In the context of COVID-19 that may lead to global trade recession, the government should strengthen the construction of Internet infrastructure, provide a good policy environment for the Internet industry and e-commerce enterprises, and give full play to the role of Internet development in stimulating domestic demand. References | Related Articles | Metrics

Select

“Fluctuation Fear” or Trend Devaluation?An Analysis of RMB Exchange Rate Depreciation Mechanism since the “8.11”Exchange Rate Reform TIAN Tao1,XU Yang1,LI Jing-yun2 2020, 62(10): 53-63.  Abstract ( 17 )   Using the method of decomposing non-stationary time series proposed by Beveridge and Nelson, the real effective exchange rate index of RMB is decomposed into deterministic trend component, random trend component and periodic component since the “8.11” exchange rate reform to study the formation mechanism of RMB exchange rate.The deterministic trend analysis shows that although the RMB exchange rate has been devalued since the “8.11” exchange rate reform, the non-trend stationary characteristics of RMB real effective exchange rate index, the fluctuation range of RMB real effective exchange rate and China′s macroeconomic fundamentals show that the RMB exchange rate does not show a long-term depreciation trend;that China′s economy has entered a “new normal” economy, the strong recovery of the US economy and the US dollar′s entry into the interest rate increase channel are the main reasons for the continuous depreciation of RMB, while the pro cyclical nature of market sentiment aggravates the downward pressure on the RMB exchange rate;research on the cyclical components and stochastic trend components of RMB exchange rate shows that the RMB exchange rate has been more sensitive to various external random shocks since “8.11”,the two-way fluctuation of RMB exchange rate presents a normalized trend, and the role of market forces in the formation mechanism of RMB exchange rate is increasing. References | Related Articles | Metrics

Select

Chinese State-led Green Finance in Africa: Development, Challenges and Way Forward LIU Bing-yu 2020, 62(10): 64-72.  Abstract ( 25 )   Africa is a central destination of China′s foreign investment under the “Belt and Road Initiative”. As an important funding sources for overseas investment by Chinese enterprises, the overseas green credit of financial institutions directly affects the sustainable development of Chinese investment in Africa，and the government plays an important role in promoting overseas green credit of Chinese financial institutions. China′s government and financial institutions have political, social and economic motivations to promote the green credit of financial institutions to Africa. The theory of government-led social responsibility reflects that the government has institutional advantages in the development and supervision of overseas green credit policies and implementation of China′s financial institutions.However, the development of overseas green credit promoted by the government in China′s financial institutions still lacks perfect internal environment and social security framework, effective supervision mechanism and sufficient credit transparency.Improving the framework and implementation of environmental and social security, strengthening the directors and senior managers′ green credit responsibility, and improving the transparency of green credit to Africa are conducive to better promoting the green credit of China′s financial institutions to Africa. References | Related Articles | Metrics

Select

Does the Risk of Product Market Plunder Affect the Forward-looking Information Disclosure of the Annual Report? LEI Xin-tu,FANG Liu-qing 2020, 62(10): 73-88.  Abstract ( 16 )   In the era of information economy, the forward-looking information disclosure behavior of companies is affected by more factors. It is an urgent theoretical and practical problem to make a favorable forward-looking information disclosure decision under the plunder risk of different product competition market and continue to occupy an advantage in the product market competition.Taking A-share listed companies in Shanghai and Shenzhen stock exchanges from 2011 to 2018 as samples, this paper measures the adequacy of forward-looking information disclosure by using the proportion of words in the “company′s future development outlook” chapter in the annual report, and discusses the impact of product market plunder risk on the adequacy of forward-looking information disclosure.It is found that the higher the risk of plunder, the weaker the willingness of the company′s management to disclose forward-looking information, and the higher the degree of competition in the industry market and the smaller the barriers to entry, the negative correlation between them is strengthened.Further analysis of the impact of corporate characteristics shows that the relationship between plunder risk and the adequacy of forward-looking information disclosure is stronger when the company is small in size, high in profitability, low in financial leverage and non-state in nature of property rights.The adequacy of forward-looking information disclosure affects the change of the company′s market share in the future. The fuller the forward-looking information disclosure is, the more likely it will be plundered by competitors in the future. References | Related Articles | Metrics

Select

Dual-Class Share Structure, Institutional Investors′ Rights and Accounting Information Quality：Based on the “Active” and “Passive” Separation of Cash Flow Rights from Voting Rights DU Yuan, DI Ying-xin 2020, 62(10): 89-98.  Abstract ( 21 )   How to improve the accounting information quality of dual-class share companies is the focus of our regulatory authorities on emerging dual-class share companies.Based on the sample of dual-class share structure companies in the United States from 2010 to 2018, this paper discusses the effects that the internal and external shareholders′ separation of cash flow rights from voting rights on accounting information quality.It is found that the active separation of cash flow rights from voting rights of shareholders with high control rights in dual-class share structure companies would indeed reduce accounting information quality, although institutional investors have passive separation of two rights, they can also alleviate the negative impact of dual-class share on accounting information quality, and the effect of cash flow rights is better than that of voting rights;the cash flow rights and higher proportion of voting rights of institutional investors with independent interests and relatively long holding time can more effectively alleviate the negative impact of the separation of two rights on accounting information quality. References | Related Articles | Metrics

Select

Does Insufficient Equity Incentive Returns Affect Executive Turnover? Based on the Assignment Model Theory LIU Qian-ru, XU Yong-yi, YU Peng-yi 2020, 62(10): 99-106.  Abstract ( 22 )   Based on the classic assignment model theory, this paper uses the equity incentive plan implemented by private enterprises from 2008 to 2018 as a sample to analyze the impact of insufficient equity incentive returns on executive turnover from the perspective of both manager and the supply and demand side of labor market. It is found that there is a problem of insufficient returns in equity incentive, which is serious year by year. When the manager′s income is less than the level matching with its performance contribution, the turnover probability will be significantly increased; when the company′s performance is higher than the average market level, the degree of industry competition is higher, or the average compensation of industry executives is higher than the individual salary of executives, the impact of insufficient equity incentive income on the turnover of executives is more significant;at the same time, the insufficient return on equity incentive will have a significantly negative impact on corporate performance and stock market performance by increasing the turnover probability of executives. The conclusion shows that the market efficiency of manager in China is still very low, and the effective incentive of management is still an important problem to be solved. References | Related Articles | Metrics

Select

Minimum Wage, Labor Cost and the Willingness of Small and Medium-sized Enterprises to Invest in Innovation:Based on Corporate Survey in Zhejiang Province LIU En-meng，LV Wen-dong 2020, 62(10): 107-116.  Abstract ( 21 )   The increase in the minimum wage may affect the willingness of SMEs to invest in innovation through two ways: labor costs and innovation revenue expectations. Based on the survey data of Zhejiang enterprises in 2017, the paper uses structural equation modeling to test the impact of minimum wage on labor costs of SMEs, and then uses regression models to test the impact of minimum wage on SMEs′ willingness to invest in innovation. The results show that the labor cost and operation of some SMEs have been affected by the increase in the minimum wage standards, and some employee′s social insurance have been cut. The improvement of the minimum wage standard will significantly increase the labor cost of labor-intensive and private SMEs; the higher the minimum wage standard is in the region where the SMEs are located, the stronger the willingness of non labor-intensive and private SMEs to invest in innovation. Combined with two kinds of empirical results, it can be confirmed that both of them exist, and vary with enterprises. References | Related Articles | Metrics

Select

Does the “New- type Pension Insurance for Rural Residents” Really Reduce the Labor Participation of the Rural Elderly? A Study based on Cross-Sectional Data of Two Periods of CHARLS SUN Ze-ren1,ZHAO Qiu-cheng2，ZHAO Ying3 2020, 62(10): 117-126.  Abstract ( 30 )   Based on the cross-sectional data of China Health and Retirement Longitudinal Study (CHARLS), this paper uses Probit model and Tobit model to investigate the impact of “new- type pension insurance for rural residents” on labor participation of the rural elderly. The results show that although the “new-type pension insurance for rural residents” has significantly reduced the labor participation of the rural elderly in the short term, this effect does not seem to have long-term sustainability;under the “new-type pension insurance for rural residents” system, labor participation of the rural elderly still shows the characteristics of significantly being affected by their individual characteristics and family characteristics,the proportion of the rural elderly who are young, healthy, married and have land to participate in their own agricultural production and total labor is higher, and the labor supply time is longer; the rural elderly who have received junior high school education or above, can get financial support from their children and live with their children, are relatively less in the proportion of participating in agricultural production,total labor and labor supply time;the rural elderly with high per capita family income are more likely to participate in wage labor;the proportion of the rural elderly participating in their own agricultural production in economically backward areas is significantly higher than that in economically developed areas, while the latter is significantly higher than the former in wage labor participation. References | Related Articles | Metrics

Select

Rural Poverty Alleviation Effect of Informationization and Regional Differences: An Empirical Study based on Data of 273 Prefectural-level Cities in China XIN Da-leng1, LI Jian-ping1, WU Chuan-qi2 2020, 62(10): 127-133.  Abstract ( 18 )   Winning the battle against poverty is an important task for building a moderately well-off society in all respects. The mechanism of poverty alleviation effect of informationization is discussed from the theoretical level in the paper. Then, the paper tests the rural poverty alleviation effect of informationization, by using unbalanced panel data of 273 prefecture-level cities,and carries out a comprehensive analysis of the regional differences of the rural poverty alleviation effect. The results show that informatization significantly reduces poverty levels in rural areas. However, there are still large regional differences in the rural poverty alleviation effect of informationization. Specifically, the rural poverty alleviation effect of informatization is not obvious in the eastern region,is more significant in the western region,while is the strongest in the central region. Therefore, it is necessary to increase innovation support in industries such as information and communication technology industries, with particular attention to support for rural areas; certain policies support should be given to the central and western regions in supporting the development of informatization, so as to maximize the poverty alleviation effect of informatization. References | Related Articles | Metrics

Select

The Applicability of CISG on Smart Contracts:The Legal Sphere of Block Chain Technology SUN Wen，FAN Yu-ying 2020, 62(10): 134-143.  Abstract ( 14 )   Unlike the traditional form of contract expression, smart contracts are completely expressed in the form of program codes,and their execution links are controlled by the code of thecontracting parties.Therefore,it is particularly important to discuss the legal issues at the conclusion of smart contracts. Smart contracts reflect the decentralization, transparency,traceability,immediacy,and irrevocability of the block chain,and have played a positive role in modern digital transactions. From the perspective of international law, based on the United Nations Convention on International Contracts for the International Sale of Goods(CISG),the most widely applied uniform entity law in the field of international commercial contracts, the paper discusses the application of smart contracts under the current legal system, especially under CISG, and further discusses the institutional costs and legal boundaries of the block chain technology embodied in smart contracts. From the perspective of the composition of the contract, the smart contract,which is expressed entirely in code,can meet the requirements for offers and acceptance under CISG. From the legislative purpose of CISG,the application of smart contracts can improve transaction efficiency and promote the development of international commercial affairs. International commercial transactions formed in the form of smart contracts can be applied to CISG, and smart contracts are legal and effective under CISG. However, it can also be seen in the existing practice that there are still several legal regulations for the general application of smart contracts in transactions.The legal cost is high, and smart contracts cannot be widely applied unconditionally. References | Related Articles | Metrics

Select

Research on the Definition of Abuse of Market Dominance and Privacy Protection： To Improve the Data Element Market as the Background GUO Han-wen 2020, 62(10): 144-152.  Abstract ( 25 )   The introduction of data element policies will promote the transformation of data-centric business models. With the increasing demand for data acquisition and use by data-driven enterprises, the “maximum range” of data acquisition to meet the operational restrictions or to eliminate competition is also spreading, making whether privacy protection should be included in the anti-monopoly regulatory framework become the focus of controversy. Combined with the analysis and reference of the application process of data privacy protection and competition law in various countries, China′s regulation on the abuse of consumer data by data enterprises should still adhere to the anti-monopoly law as the theoretical basis for defining the abuse of market dominant position, while the privacy related part should be regulated by data protection rules, so as to protect the stability of data market competition and promote the construction of the legal system based on improving the data element market. References | Related Articles | Metrics