The Impact of Business Environment on the Effectiveness of Financial and Tax Policies in Incentivizing Innovation in China

The financial and tax policies have been widely used by governments at all levels in China to incentivize business innovation and development. However, the effectiveness of these policies varies depending on the business environment in different regions. As a result, creating a favorable business environment has become a priority for governments at all levels, and the academic community has conducted a series of research on this issue. However, there is still no consensus on the effectiveness of innovative incentives in financial and tax policies and whether this effectiveness is constrained by the business environment.