Impacts of digital inclusive finance on household entrepreneurship

• Published in: Finance research letters Vol. 56; p. 104114
• Main Authors: Wu, Jinshun, Wu, Luyao
• Format: Journal Article
• Language: English
• Published: Elsevier Inc 01-09-2023
• Subjects: Digital inclusive finance; Entrepreneurship; Financing constraints; Innovative behavior; Digital inclusive finance; Entrepreneurship; Innovative behavior; Financing constraints
• ISSN: 1544-6123; 1544-6131
• DOI: 10.1016/j.frl.2023.104114

•Digital inclusive finance promotes household entrepreneurial decisions.•Digital inclusive finance is effective in improving household entrepreneurial performance.•Digital inclusive finance enhances entrepreneurial performance by promoting innovative behavior.•Digital inclusive finance improves entrepreneurial performance by alleviating financing constraints.
This paper analyses the impact of inclusive digital finance on household entrepreneurship. Through a mediating effects model, we explore the association between inclusive digital finance and household entrepreneurship performance. Selecting data from the China Household Finance Survey (CHFS) in 2017, 2019 and 2021 as the research sample. The study finds that: digital inclusive finance can facilitate household entrepreneurial decisions; digital inclusive finance can enhance entrepreneurial performance through two mechanisms: promoting innovative behavior and alleviating financing constraints, and digital inclusive finance can promote household entrepreneurship by reducing financing constraints.