City innovation ability and internet infrastructure development: Evidence from the “Broadband China” policy

“Broadband China” (BC), the new Chinese government implementation in 2013, has led to substantial investments in internet infrastructure development. Furthermore, accurately evaluating its effects is of great significance. BC is taken as a quasinatural experiment in this paper. Data from 278 Chinese...

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Published inBulletin of economic research Vol. 76; no. 1; pp. 121 - 146
Main Authors Liu, Yang, Fan, Yaojun, Wang, Yifan, Huang, Jiayu, Xun, Hu
Format Journal Article
LanguageEnglish
Published Oxford Blackwell Publishing Ltd 01.01.2024
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ISSN0307-3378
1467-8586
DOI10.1111/boer.12421

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Abstract “Broadband China” (BC), the new Chinese government implementation in 2013, has led to substantial investments in internet infrastructure development. Furthermore, accurately evaluating its effects is of great significance. BC is taken as a quasinatural experiment in this paper. Data from 278 Chinese cities from 2007 to 2019 are used to evaluate this policy influence on city innovation ability by building a regression discontinuity (RD) design model. In addition, its heterogeneity and mechanism are also analyzed. The results show that (1) city innovation ability is significantly improved by the BC policy, and this is still valid after robustness tests. (2) The influence of the BC policy on city innovation ability is heterogeneous and more significant in more prosperous regions, such as in the eastern regions and in large cities. (3) Mechanism analysis shows that the city innovation ability is enhanced by improving knowledge spillover and stimulating entrepreneurial activities.
AbstractList “Broadband China” (BC), the new Chinese government implementation in 2013, has led to substantial investments in internet infrastructure development. Furthermore, accurately evaluating its effects is of great significance. BC is taken as a quasinatural experiment in this paper. Data from 278 Chinese cities from 2007 to 2019 are used to evaluate this policy influence on city innovation ability by building a regression discontinuity (RD) design model. In addition, its heterogeneity and mechanism are also analyzed. The results show that (1) city innovation ability is significantly improved by the BC policy, and this is still valid after robustness tests. (2) The influence of the BC policy on city innovation ability is heterogeneous and more significant in more prosperous regions, such as in the eastern regions and in large cities. (3) Mechanism analysis shows that the city innovation ability is enhanced by improving knowledge spillover and stimulating entrepreneurial activities.
Author Liu, Yang
Fan, Yaojun
Wang, Yifan
Huang, Jiayu
Xun, Hu
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Snippet “Broadband China” (BC), the new Chinese government implementation in 2013, has led to substantial investments in internet infrastructure development....
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StartPage 121
SubjectTerms Broadband China
Economic research
Heterogeneity
Infrastructure
innovation ability
Innovations
Internet
Quasi-experimental methods
quasinatural experiment
Regression analysis
regression discontinuity design
Robustness
Spillover effect
Title City innovation ability and internet infrastructure development: Evidence from the “Broadband China” policy
URI https://onlinelibrary.wiley.com/doi/abs/10.1111%2Fboer.12421
https://www.proquest.com/docview/2911591697
Volume 76
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