Economics at your fingertips  

Hukou and highways the impact of China's spatial development policies on urbanization and regional inequality

Maarten Bosker (), Uwe Deichmann and Mark Roberts ()

Regional Science and Urban Economics, 2018, vol. 71, issue C, 91-109

Abstract: This paper examines the spatial economic impact of China's two main spatial development policies: restricted labor mobility through the Hukou residential registration system, and the construction of a 96,000 km national expressway network (NEN). Using a structural new economic geography approach, we find that these policies have shaped regional economic development and urbanization patterns across China in very different ways. The construction of the NEN has reinforced China's existing core-periphery patterns: initially lagging regions not connected to the NEN have not benefitted much from its construction. By contrast, a removal of the Hukou restrictions is predicted to result in much more widespread welfare gains, allowing all people to benefit by moving to where they are most productive. Interestingly, it would even promote urbanization in currently lagging (inland) regions, mostly by stimulating rural outmigration.

Keywords: China; Infrastructure investments; Highways; Migration; Economic geography (search for similar items in EconPapers)
JEL-codes: R11 R23 R42 (search for similar items in EconPapers)
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
Full text for ScienceDirect subscribers only

Related works:
Working Paper: Hukou and highways: the impact of China?s spatial development policies on urbanization and regional inequality (2015) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link:

Access Statistics for this article

Regional Science and Urban Economics is currently edited by D.P McMillen and Y. Zenou

More articles in Regional Science and Urban Economics from Elsevier
Bibliographic data for series maintained by Dana Niculescu ().

Page updated 2019-08-22
Handle: RePEc:eee:regeco:v:71:y:2018:i:c:p:91-109