Research Article
Pay Gap, Financial Risks and Enterprise Innovation ——An Empirical Analysis Based on Multiple Linear Regression Model
@INPROCEEDINGS{10.4108/eai.18-11-2022.2327186, author={Liangcheng Wang and Ziyue Tian}, title={Pay Gap, Financial Risks and Enterprise Innovation ------An Empirical Analysis Based on Multiple Linear Regression Model}, proceedings={Proceedings of the 4th International Conference on Economic Management and Model Engineering, ICEMME 2022, November 18-20, 2022, Nanjing, China}, publisher={EAI}, proceedings_a={ICEMME}, year={2023}, month={2}, keywords={pay gap; financial risks; enterprise innovation; multiple linear regression model}, doi={10.4108/eai.18-11-2022.2327186} }- Liangcheng Wang
Ziyue Tian
Year: 2023
Pay Gap, Financial Risks and Enterprise Innovation ——An Empirical Analysis Based on Multiple Linear Regression Model
ICEMME
EAI
DOI: 10.4108/eai.18-11-2022.2327186
Abstract
Based on the multiple linear regression model, this paper uses a sample of publicly listed A-share Chinese firms from 2014 to 2019 to analyze the relationship between the pay gap and enterprise innovation. The study finds that the pay gap between executives promotes enterprise innovation, and the pay gap between executives and employees also plays a positive effect on enterprise innovation. By introducing financial risk, this paper further explores the moderating role of financial risk. The empirical results reveal that financial risk plays a negative role in moderating the impact of the absolute pay gap between executives on enterprise innovation, but not in the absolute pay gap between executives and employees on enterprise innovation. Finally, in the robustness test, a group regression analysis of the interval effects of the relative pay gap between executives and employees reveal a nonlinear relationship of inverted U. This paper studies the impact of the pay gap on enterprise innovation from a new perspective of financial risk and expands the research perspective of the impact of the pay gap.