The Supportive Effect of the Real Economy on Financial Derivatives: An Empirical Analysis Based on Chinese Futures Market Data

Xiaotong Ye

doi:10.54254/2754-1169/2025.BJ25352

Advances in Economics, Management and Political SciencesOpen access

The Supportive Effect of the Real Economy on Financial Derivatives: An Empirical Analysis Based on Chinese Futures Market Data

Research Article

Open Access

The Supportive Effect of the Real Economy on Financial Derivatives: An Empirical Analysis Based on Chinese Futures Market Data

Xiaotong Ye ^1*

¹ City University of Macau

^*Corresponding author: 1254625905@qq.com

Published on 24 July 2025

AEMPS Vol.205

ISSN (Print): 2754-1177

ISSN (Online): 2754-1169

ISBN (Print): 978-1-80590-293-5

ISBN (Online): 978-1-80590-294-2

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Abstract

As an essential component of modern financial markets, financial derivatives often rely on a mature real economy for their development. Therefore, assessing the influence of the real economy on financial derivatives is crucial. This study employs a linear regression model combined with robustness checks to examine the impact of the real economy on the development of financial derivatives in China, using data from 1993 to 2023. Additionally, it incorporates a heterogeneity analysis from temporal and sectoral perspectives.The findings reveal that: (1) The real economy exerts a positive and supportive effect on the development of financial derivatives. (2) The supportive effect was more pronounced before the global financial crisis. (3) The agricultural sector plays a more significant role in promoting the development of financial derivatives compared to the industrial sector.

Keywords:

Real Economy, Financial Derivatives, Regression Analysis, Heterogeneity Analysis, China

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References

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[10]. Zhang, Y. (2025). A brief discussion on how digital finance empowers high-quality development of the real economy. Modern Business, (04), 87–90.

References

[3]. Li, Q. (2017). The role of financial derivatives in promoting economic restructuring. Popular Investment Guide, (09), 6.

[5]. Fang, S. , & Fang, X. (2025). Current status, existing problems, and suggestions for the development of China’s financial derivatives market. Hainan Finance, (01), 51–60.

[6]. Yao, Y. , Wang, T. , Jiang, S. , & Huang, Y. (2023). A review of research on the development of China’s financial derivatives. Business Observer, 9(35), 102–107+116.

[7]. Hu, H. (2022). Analysis of hedging strategies using derivative financial instruments. Modern Business, (20), 102–104.

[8]. Liang, X. (2021). Research on the functions and development pathways of the financial derivatives market. Journal of Henan Radio and TV University, 34(02), 14–19.

[9]. Zheng, M. (2025). Deep integration of digital economy and real economy: Logic, challenges, and practical solutions. Journal of Suihua University, 45(03), 21–23.

[10]. Zhang, Y. (2025). A brief discussion on how digital finance empowers high-quality development of the real economy. Modern Business, (04), 87–90.

Cite this article

Ye,X. (2025). The Supportive Effect of the Real Economy on Financial Derivatives: An Empirical Analysis Based on Chinese Futures Market Data. Advances in Economics, Management and Political Sciences,205,36-41.

Data availability

The datasets used and/or analyzed during the current study will be available from the authors upon reasonable request.

About volume

Volume title: Proceedings of ICEMGD 2025 Symposium: The 4th International Conference on Applied Economics and Policy Studies

ISBN: 978-1-80590-293-5(Print) / 978-1-80590-294-2(Online)

Editor: Florian Marcel Nuţă Nuţă, Xuezheng Qin

Conference website: https://www.icemgd.org/

Conference date: 20 September 2025

Series: Advances in Economics, Management and Political Sciences

Volume number: Vol.205

ISSN: 2754-1169(Print) / 2754-1177(Online)

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