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Article: Connective financing: Chinese infrastructure projects and the diffusion of economic activity in developing countries

TitleConnective financing: Chinese infrastructure projects and the diffusion of economic activity in developing countries
Authors
KeywordsChina
Development finance
Foreign aid
Infrastructure
Spatial concentration
Transport costs
Issue Date1-Jan-2025
PublisherElsevier
Citation
Journal of Urban Economics, 2025, v. 145 How to Cite?
Abstract

This paper studies the causal effect of transport infrastructure on the spatial distribution of economic activity within subnational regions across a large number of developing countries. To do so, we introduce a new global dataset of geolocated Chinese grant- and loan-financed development projects from 2000 to 2014 and combine it with measures of spatial concentration based on remotely sensed data. We find that Chinese-financed transportation projects decentralize economic activity within regions, as measured by a spatial Gini coefficient, by 2.2 percentage points. The treatment effects are particularly strong in regions that are less developed, more urbanized, and located closer to cities.


Persistent Identifierhttp://hdl.handle.net/10722/352757
ISSN
2023 Impact Factor: 5.7
2023 SCImago Journal Rankings: 4.314

 

DC FieldValueLanguage
dc.contributor.authorBluhm, Richard-
dc.contributor.authorDreher, Axel-
dc.contributor.authorFuchs, Andreas-
dc.contributor.authorParks, Bradley C-
dc.contributor.authorStrange, Austin M-
dc.contributor.authorTierney, Michael J-
dc.date.accessioned2024-12-31T00:35:06Z-
dc.date.available2024-12-31T00:35:06Z-
dc.date.issued2025-01-01-
dc.identifier.citationJournal of Urban Economics, 2025, v. 145-
dc.identifier.issn0094-1190-
dc.identifier.urihttp://hdl.handle.net/10722/352757-
dc.description.abstract<p>This paper studies the causal effect of transport infrastructure on the spatial distribution of economic activity within subnational regions across a large number of developing countries. To do so, we introduce a new global dataset of geolocated Chinese grant- and loan-financed development projects from 2000 to 2014 and combine it with measures of spatial concentration based on remotely sensed data. We find that Chinese-financed transportation projects decentralize economic activity within regions, as measured by a spatial Gini coefficient, by 2.2 percentage points. The treatment effects are particularly strong in regions that are less developed, more urbanized, and located closer to cities.</p>-
dc.languageeng-
dc.publisherElsevier-
dc.relation.ispartofJournal of Urban Economics-
dc.rightsThis work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.-
dc.subjectChina-
dc.subjectDevelopment finance-
dc.subjectForeign aid-
dc.subjectInfrastructure-
dc.subjectSpatial concentration-
dc.subjectTransport costs-
dc.titleConnective financing: Chinese infrastructure projects and the diffusion of economic activity in developing countries-
dc.typeArticle-
dc.identifier.doi10.1016/j.jue.2024.103730-
dc.identifier.scopuseid_2-s2.0-85211232349-
dc.identifier.volume145-
dc.identifier.eissn1095-9068-
dc.identifier.issnl0094-1190-

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