Can the Replacement of Fixed Assets in the New Era Really Promote Economic Development

-- Empirical Evidence from Guangzhou

Authors

  • Gang Zhang
  • Xinyu Zhang

DOI:

https://doi.org/10.54097/v0tygt40

Keywords:

Enterprise Growth, Equipment Renewal, Fixed Assets, Economic Development

Abstract

Since the reform and opening up, China has carried out four large-scale equipment renewal campaigns, and the fifth equipment renewal campaign was officially launched in March 2024. Although each renewal considers that the national economy has been boosted and the expected goal has been achieved, it is demonstrated from the macro level. Whether it can really significantly promote the growth of the major enterprises in economic development remains to be studied. This paper empirically studies the role of fixed assets in corporate growth by taking the listed manufacturing industry in Guangzhou, the holy land of reform and opening up in China, as a sample from 2012 to 2022. The results show that: TEC investment has no significant impact on corporate growth in Guangzhou and there is no heterogeneity among industries. This provides an important reference for the accurate implementation of national economic governance and corporate micro-governance.

Downloads

Download data is not yet available.

References

[1] Gather the filming net, 2024, unveil the secrets of the blockbuster! The story behind China's five large-scale equipment renovations.https://mbd.baidu.com/ma/landingpage.

[2] He Linjuan and Cheng Hongwei, 2013, Empirical Research on Asset Structure and Enterprise Growth Capability. Chengdu University of Technology.

[3] Zhang Xiue, Wang Wei, Yu Yongbo, 2022, Research on the Impact of Digital Transformation on New Quality Productivity of Enterprises. scientific research.

[4] Pan Haifang, Tang Yali, Fu Yunying, 2009, an empirical study on the correlation between asset quality and growth ability of listed companies. Chongqing University.

[5] Chen Yan, Yang Huixin, 2017, Research on Intangible Assets and Enterprise Growth-Based on the Empirical Data of Listed Companies in Information Technology Industry and Pharmaceutical Industry in China. Yijiang University.

[6] Baidu, 2023, Keynesian "pit digging theory": hire people to dig pits, and then hire people to fill the pits, the economy will develop! https://baijiahao.baidu.com/s?.

[7] Li Jun. (2023). R&D Investment and Enterprise Growth: Empirical Data of Listed Companies in Emerging Industries in Yangtze River Delta Region, Modern Business, 11-14.

Downloads

Published

27-09-2024

Issue

Section

Articles

How to Cite

Zhang, G., & Zhang, X. (2024). Can the Replacement of Fixed Assets in the New Era Really Promote Economic Development: -- Empirical Evidence from Guangzhou. Academic Journal of Management and Social Sciences, 8(3), 6-13. https://doi.org/10.54097/v0tygt40