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The 36th Xi Xian Academic Luncheon | Insight from Professor Lu Jian: The Nonlinear Impact of Time Cost on Enterprises Expanding into Different Locations
publish date:2024-06-17 publisher:SUN Chen

The 36th Xi Xian Academic Luncheon, sponsored by Zhongnan University of Economics and Law's Innovation and Talent Base for Income Distribution and Public Finance and School of Public Finance and Taxation, was successfully held on June 14, 2024, at Wenqin Building's Conference Room 119. Professor Lu Jian, a research fellow at Nanjing University's Yangtze IDEI, attended the academic luncheon as a keynote speaker, delving into the theme of 'The Nonlinear Impact of Time Cost on Enterprises Expanding into Different Locations'. Professor Ye Jingjing from Zhongnan University of Economics and Law's School of Public Finance and Taxation presided over the event. The academic luncheon drew over 30 attendees, including Associate Professor Zhang Ziyao from the School of Public Finance and Taxation, Researcher and Associate Professor Gao Sihan, and teachers Zou Wei, Zou Jianwen, and Li Shanshan from the base, along with students.

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Time plays a crucial role in influencing economic activities. While individual enterprises can sometimes overlook time constraints, enterprises with branches should regard time as a finite resource. Time cost serves as a vital factor when these enterprises plan to invest in other locations. With the enhancements in China's transportation infrastructure, such as railways and highways, time cost reduction has become an intrinsic aspect of the economic outcomes derived from infrastructure development. Professor Lu Jian's research team utilized data from listed parent and subsidiary companies to generate data concerning enterprise-city investment flows. They focused on the time cost perspective and assessed whether the enhancements in transportation infrastructure exhibit a nonlinear impact on the investment choices of enterprise subsidiaries. Their findings indicated that the time cost fluctuation for enterprises engaging in non-local investment surpasses that of subsidiaries operating within the province. Notably, the time cost reduction within 4.48 hours leads to a significant decrease in non-local investment by an enterprise. Conversely, a reduction exceeding 4.48 hours leads to a substantial increase in an enterprise's non-local investment decisions.

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Professor Lu Jian delivered an excellent lecture to the attendees, sparking a deep reflection among them. Both faculty members and students enthusiastically engaged in discussions, sharing their ideas on the research background, issues, and methodologies.