Does improved transportation promote innovation? evidence from China’s cities

Zhixin Zeng, Long Zhao and Xiaojun Wang ()

Applied Economics, 2022, vol. 54, issue 23, 2643-2657

Abstract: This paper empirically investigates the effect of improved transportation system on innovation activities in a panel of Chinese cities. We find robust evidence that there is a significant increase in a city’s capacity in invention patents due to the opening of the high-speed railway (HSR). Furthermore, increased expenditure in research and development (R&D), expanded business opportunities through trade and foreign direct investment, and intensified import competition are three plausible channels that allow the opening of HSR to spur city innovation.

Date: 2022
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DOI: 10.1080/00036846.2021.1992344

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