Connecting the Countryside via E-Commerce: Evidence from China

Benjamin Faber, Lizhi Liu, Yizhen Gu and Victor Couture

No 12771, CEPR Discussion Papers from Centre for Economic Policy Research

Abstract: This paper estimates the impact of the first nation-wide e-commerce expansion program on rural households. To do so, we combine a randomized control trial with new survey and administrative microdata. In contrast to existing case studies, we find little evidence for income gains to rural producers and workers. Instead, the gains are driven by a reduction in cost of living for a minority of rural households who tend to be younger, richer and in more remote markets. These effects are mainly due to overcoming logistical barriers to e-commerce, rather than to additional investments to adapt e-commerce to the rural population.

Keywords: E-commerce; Trade integration; Economic development; Rural-urban divide (search for similar items in EconPapers)
JEL-codes: F63 O12 R13 (search for similar items in EconPapers)
Date: 2018-03
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Citations: View citations in EconPapers (19)

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Journal Article: Connecting the Countryside via E-Commerce: Evidence from China (2021)
Working Paper: Connecting the Countryside via E-Commerce: Evidence from China (2018)
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