 Transportation network and venture capital mobility: An analysis of air travel and high-speed rail in ChinaLiaoliao Duan, Weizeng Sun and Siqi Zheng Journal of Transport Geography, 2020, vol. 88, issue C Abstract: Transportation network plays a critical role in reshaping the spatial geographical economy in terms of population, urban form, output and so on. But the impact of transportation on capital mobility is seldom revealed. Using venture capital investment events and airline network as well as high-speed rail network in China, this paper examines the effects of transportation network on capital mobility. We find that 1% decline in travel time will lead to increase in VC investment deals by 0.02. Heterogeneous results indicate that small firms, young firms, and emerging industries benefit more from the transportation network, which demonstrates the role of transportation network in alleviating information asymmetries. In addition, heterogeneity on VC flow direction offers suggestive evidence that transportation network is likely to alleviate development imbalance within wealthier cities while widening the gap between wealthier cities and poorer cities. Keywords: Venture capital; Air travel; High-speed rail; Capital mobility (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:eee:jotrge:v:88:y:2020:i:c:s0966692320303367 DOI: 10.1016/j.jtrangeo.2020.102852 Access Statistics for this article Journal of Transport Geography is currently edited by Frank Witlox More articles in Journal of Transport Geography from Elsevier |
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