Rural digital infrastructure and labor market: Evidence from universal telecommunication service
Qing Wang, Xingyu Xia, Sai Lan, Miao Li
Abstract
Abstract This study estimates the effects of the rapid expansion of digital infrastructure on rural employment and income. We use a triple‐difference framework and exploit the geographic variation of the recent universal telecommunication service in China. Empirical results reveal increased broadband adoption after the implementation of the program with governmental subsidy. The universal telecommunication service led to an increase in rural residents’ income and their employment in the non‐agricultural sector, especially salaried work. The findings suggest that digital infrastructure promotes the transformation of the rural economy in emerging markets.
Topics & Concepts
SubsidyUniversal serviceBroadbandDigital divideChinaWork (physics)ExploitBusinessService (business)TelecommunicationsDigital transformationTelecommunications serviceRural areaLabour economicsEconomicsEconomic growthThe InternetMarketingMarket economyGeographyEngineeringPolitical scienceLawArchaeologyComputer sciencePathologyWorld Wide WebComputer securityMedicineMechanical engineeringICT Impact and PoliciesDigital Platforms and EconomicsMicrofinance and Financial Inclusion