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Breaking the Stereotype: How Corporate Financialization Can Boost R&D Investment
- 1 University of Southern California
- 2 Duke University
- 3 Shanghai Jiaotong University
- 4 Nanjing Audit University
* Author to whom correspondence should be addressed.
Abstract
As Enterprise Financialization refers to the process in which enterprises obtain funds through financing channels to support their business and development activities. This financing channel can include bank loans, bond issuance, stock issuance and other forms. And the purpose of Enterprise Financialization is to improve the efficiency of capital utilization. However, we would test the hypothesis in our research is that the extent to which corporate Financialization increases R&D spending may depend on a variety of factors. And we figure that a rise in R&D spending results from a 1% increase in finalization. This finding confirms the theory that finalization and R&D positively correlated.
Keywords
corporate finance, financialization, R&D investment
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Cite this article
Chen,Z.;Chen,Z.;Wu,Q.;Wang,Y. (2023). Breaking the Stereotype: How Corporate Financialization Can Boost R&D Investment. Advances in Economics, Management and Political Sciences,30,48-53.
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Volume title: Proceedings of the 7th International Conference on Economic Management and Green Development
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