Performance-Based Budgeting and Corporate Innovation: Evidence from a Quasi-Natural Experiment in China DOI
Xueping Wang, Xinglin Liu, Shichao Hu

et al.

Emerging Markets Finance and Trade, Journal Year: 2024, Volume and Issue: unknown, P. 1 - 19

Published: Oct. 29, 2024

This paper exploits a quasi-natural experiment to investigate the relationship between performance-based budgeting (PBB) and corporate innovation in China. The findings indicate significant rise patent applications patents granted among firms headquartered provinces that have adopted PPB. increase is particularly pronounced for facing higher fiscal pressure stronger government audits. positive impact of PBB on considerable corporates with state-owned attributes high financial constraints. mechanisms transparency, research development subsidies, tax incentives are supported. Additional analyses current China shows limitations covering governmental fund budget comprehensively. Moreover, regions increased spending science technology, influence significantly more pronounced. Collectively, evidence implies can serve as catalyst innovation.

Language: Английский

Performance-Based Budgeting and Corporate Innovation: Evidence from a Quasi-Natural Experiment in China DOI
Xueping Wang, Xinglin Liu, Shichao Hu

et al.

Emerging Markets Finance and Trade, Journal Year: 2024, Volume and Issue: unknown, P. 1 - 19

Published: Oct. 29, 2024

This paper exploits a quasi-natural experiment to investigate the relationship between performance-based budgeting (PBB) and corporate innovation in China. The findings indicate significant rise patent applications patents granted among firms headquartered provinces that have adopted PPB. increase is particularly pronounced for facing higher fiscal pressure stronger government audits. positive impact of PBB on considerable corporates with state-owned attributes high financial constraints. mechanisms transparency, research development subsidies, tax incentives are supported. Additional analyses current China shows limitations covering governmental fund budget comprehensively. Moreover, regions increased spending science technology, influence significantly more pronounced. Collectively, evidence implies can serve as catalyst innovation.

Language: Английский

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