Government Intervention, Media Attention and Fintech Risk

Abstract

This paper uses the method of Text Mining and the GARCH-VaR model to construct Fintech risk index, exploring the relationship between government intervention, media attention and Fintech risks empirically. The result has shown that, first, appropriate government intervention will inhibit Fintech risks; second, media attention can curb Fintech risks to some extent; and third, media attention can change the impact of government intervention on Fintech risks, and as media attention increases, the inhibitory effect of government intervention on Fintech risks will be enhanced. It can be seen from the results that the role of the media is unable to be ignored, whether in the Fintech market or in the process of Fintech risk prevention. Clarifying the market positioning and influence mechanism of the media is of great theoretical and practical significance for correctly handling the relationship among government intervention, media attention and Fintech risks.