Professor Yongbin Lv, Deputy Director of the Base, has had his collaborative paper "Extreme Climate Shocks, Infrastructure Adaptability and Local Fiscal Risks" published online in Finance and Trade Research. 

Founded in 1980, Finance and Trade Research is a comprehensive journal of economics and management sponsored by the Department of Education of Anhui Province and hosted by Anhui University of Finance and Economics. 

Abstract: Comprehensively promoting resilient city construction is an important measure for local governments to adapt to climate change and respond to meteorological disasters. From the perspective of infrastructure adaptability, this study conducts an empirical analysis of the impact of extreme climate on local fiscal risks and its mechanism based on panel data of 281 prefecture-level cities in China from 2003 to 2022. The results show that extreme heavy precipitation significantly exacerbates local fiscal risks, while the impacts of extreme high temperature and extreme low temperature on local fiscal risks are not significant. Mechanism analysis indicates that extreme heavy precipitation mainly increases local governments’ construction costs by damaging existing traditional infrastructure, thereby aggravating local fiscal risks; in contrast, increasing new-type infrastructure can not only reduce local governments’ future fiscal costs but also establish long-term fiscal resilience. Heterogeneity analysis reveals that compared with inland regions and non-ecologically fragile areas, extreme heavy precipitation and extreme low temperature have a greater impact on the fiscal risks of coastal regions and ecologically fragile areas. 

Keywords: Extreme climate；Fiscal risks；Traditional infrastructure；New-type infrastructure

Link:https://cmyj.cbpt.cnki.net/WKA/WebPublication/wkTextContent.aspx?colType=4&yt=2025&st=05

Teacher profile

Yongbin Lv is Vice Dean of the School of Finance, Zhongnan University of Economics and Law, Professor and Doctoral Supervisor, as well as Deputy Director of the Innovation And Talent Base For Digital Technology And Finance. His main research interests include Digital Finance, Climate Finance, and Inclusive Finance. He has published numerous papers in core journals at home and abroad, such as Journal of Financial Research, Public Finance Research, Finance Research Letters, and China Finance Review Internationa (including those in JCR Q1 journals with an IF of 9.0). He has also published multiple monographs and textbooks, including Digital Inclusive Finance: Theoretical Logic and Economic Effects. He has presided over or participated in major projects, general projects of the National Social Science Fund of China, and many commissioned projects by governments and enterprises. His achievements have won multiple provincial excellent achievement awards, his policy advisory reports have been approved by provincial leaders, and he has repeatedly guided students to win major awards in national competitions. He himself has been awarded many honorary titles such as "Research New Star" and "Outstanding Party Member".