The Impact of Technology Agglomeration on the Return to Capital:Empirical Evidence from 273 Cities in China
Accelerating technology agglomeration and improving the return to capital are both important concepts to promote technological innovation and further release the vitality of capital in China,as well as acting as important supports for high-quality economic growth.This paper adopts a spatial panel Durbin model,based on the data of 273 cities in China from 2004-2018,to deeply analyze the mechanism and channels of the effect of technology agglomeration on the return to capital in cities.The findings show that a)the mechanism of the effect of technology agglomeration on the return to capital has an inverted U-shaped relationship that robustly holds through the benchmark,robustness,and endogeneity tests;b)the effect of technology agglomeration on the return to capital in cities has a significant spatial spillover effect,and the local technology agglomeration also shows an inverted U-shaped effect mechanism on the return to capital in neighboring areas;and c)the advanced industrial structure effect and the innovation effect are two important channels of the role of technological agglomeration on the rate of return of capital in cities.This indicates that promoting an advanced industrial structure and stimulating innovation can be important tools to improve the rate of return of capital and release its vitality in cities.
technology agglomerationreturn to capitalspatial Durbin model
万方数据
