We investigate the relationship between the allocation of government subsidies and total factor productivity for Chinese listed firms.
In 2005, the Chinese government launched the landmark “36 Clauses” reform, marking a critical step toward forging a more favorable market environment.
In Chinese culture, digit 8 (4) is taken as lucky (unlucky). We find that the numerological superstition has a profound impact across China’s stock, bond and foreign exchange markets, affecting asset prices in both the primary and secondary markets. The superstition effect, i.e., the probability of asset price ending with a lucky (unlucky) digit far exceeds (falls short of) what would be expected by chance, is everywhere.
The Chinese government supports the development of dozens of industries today, but the long-run sustainability of this model depends crucially on policy efficiency.
We provide new evidence on the causal effects of housing wealth on consumer behavior.