Research on the Impacts of Green Finance towards the High-Quality Development of China’s Economy—Mechanisms and Empirical Analysis

Abstract

This paper firstly theoretically analyzes the specific mechanism of Green Finance in promoting the high-quality development of China’s economy through three channels: optimizing the industrial structure, improving the ecological environment and supporting the development of the new economy. On this basis, by choosing relevant data of China from 2004 to 2018 to construct the evaluation indicators system of economy quality and synthesizing the high-quality development index of China’s economy, then this paper empirically analyzes the impacts of Green Finance on High-Quality Development of China’s Economy by using VAR model. It is found that Green Finance has a significant positive correlation with the optimization of China’s Economy Quality Index. With the increase of green financial investment, China’s industrial structure tends to be rationalized and advanced, and the ecological environment is improved, the new driving force of economic development is constantly strengthened, so as to promote the development of China’s economy quality. Finally, according to the research results, the paper puts forward some policy recommendations.