Information infrastructure and knowledge diffusion: a quasi-natural experiment based on the ‘Broadband China’ strategy

Abstract

‘Broadband China’ strategy launched in 2014 aimed to expand information infrastructure coverage of Chinese cities. This study shows that the information infrastructure facilitates knowledge diffusion among pilot cities of ‘Broadband China’, using this as a quasi-natural experiment. Further analysis reveals a positive interaction effect between information and transportation infrastructure on intercity knowledge diffusion. These findings imply that developing information infrastructure is vital for technological innovation.

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