Coordinated Development of Financial Development, Technological Innovation and High-Quality Economic Development—Empirical Analysis Based on Panel Data of Jiangsu Province in China

Abstract

This paper analyzes the relationship between high-quality economic development, technological innovation and financial development, using panel data of 13 cities by GMM in Jiangsu Province from 2005 to 2016. The following conclusions are drawn: First, financial development alone restrains high-quality economic development in Jiangsu, which is caused by unreasonable FIR and low FE, and FS is conducive to high-quality economic development; second, it is not financial development that promotes high-quality economic development by encouraging technological innovation, but technological innovation serves the real economy by relying on financial development in Jiangsu Province; third, the relationship among high-quality economic development, technological innovation and financial development has regional differences in Jiangsu.