6 September 2019

The Direct and Indirect Effects Of Infrastructure On Firm Productivity: Evidence From Manufacturing In The People's Republic Of China

Written by Asian Development Bank
Developed by Asian Development Bank
6 September 2019
This publication attempts to distinguish and estimate the direct and indirect effects of infrastructure on firm productivity. The latter arises from the infrastructure–agglomeration link and has been largely overlooked in the literature on infrastructure. An analytical framework is then developed to estimate both effects. Finally, empirical results are obtained using large-scale firm-level survey data from the People’s Republic of China.