Does Transportation Infrastructure Promote Consumption?——From the Perspective of Internet Business
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| Title | Does Transportation Infrastructure Promote Consumption?——From the Perspective of Internet Business
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| Author | Wu, Huakun and Lu, Shengrong |
| Organization | Xiamen University |
| Email | einheria@gmail.com，lsr2008cn@ xmu.edu.cn |
| Key Words | Transportation Infrastructure; Internet Consumption; Consumption Rate. |
| Abstract | The consumption rate of China has been at a low level for a long time, but recently the consumption through Internet growing rapidly. To research what it means to the residents’ consumption, this paper introduces the effects caused by online shopping into a model of household optimization, and then verifies it using the household data from the CHIP survey and CFPS survey. We find that the transportation infrastructure has positive effect on the residents’ consumption by facilitating online shopping. What’s more, the density of population will enhance this effect. It is suggested that we should design more metropolitan areas surrounding the big cities to take the most advantage of the existing infrastructure, and strengthen infrastructure investment in good time. This will contribute to the online shopping and the residents’ consumption. |
| Serial Number | WP1031 |
| Time | 2016-03-04 |
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