Enhancing Total Factor Productivity: The Impact of the Belt and Road Initiative on Chinese Firms with a Focus on Fixed Asset Moderation

DOI

10.2991/978-94-6463-888-2_32How to use a DOI?

Keywords

Belt and Road Initiative; Total Factor Productivity; Fixed Asset Ratio; Difference-in-Differences Model; Heterogeneity Analysis

Abstract

This paper investigates the effects of the “Belt and Road” Initiative (BRI) on the Total Factor Productivity (TFP) of Chinese enterprises, with a focus on the moderating influence of enterprises’ fixed asset ratios. Grounded in Ownership-Location-Internalization Paradigm and Global Value Chain Upgrading Theory, this study employs the Difference-in-Differences (DID) methodology to empirically assess the initiative’s effect on the TFP of Chinese A-share listed companies over the period from 2011 to 2024. The findings indicate that the implementation of BRI has significantly enhanced the TFP of Chinese firms, particularly among non-state-owned and emerging enterprises. Furthermore, the fixed asset ratio serves as a positive moderating variable in the relationship between the BRI and TFP enhancement. A high fixed asset ratio enables enterprises to leverage more effectively the cross-border resource integration and technical cooperation opportunities afforded by the BRI. This paper contributes to the existing literature on the policy effect transmission mechanisms at the enterprise level and provides empirical evidence for policymakers and enterprises in strategic planning under the “Belt and Road” framework. It offers a novel perspective for comprehending the specific impact of the BRI on micro-level enterprises, highlighting the pivotal role of asset allocation in policy implementation.

Copyright

© 2025 The Author(s)

Open Access

Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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TY  - CONF
AU  - Jianeng Lu
PY  - 2025
DA  - 2025/12/03
TI  - Enhancing Total Factor Productivity: The Impact of the Belt and Road Initiative on Chinese Firms with a Focus on Fixed Asset Moderation
BT  - Proceedings of the 2025 7th International Conference on Economic Management and Cultural Industry (ICEMCI 2025)
PB  - Atlantis Press
SP  - 316
EP  - 328
SN  - 2352-5428
UR  - https://doi.org/10.2991/978-94-6463-888-2_32
DO  - 10.2991/978-94-6463-888-2_32
ID  - Lu2025
ER  -