IDEAS home Printed from https://ideas.repec.org/a/eee/trapol/v134y2023icp155-166.html
   My bibliography  Save this article

Exploring the heterogeneous impact of road infrastructure on rural residents’ income: Evidence from nationwide panel data in China

Author

Listed:
  • Lu, Haiyan
  • Zhao, Pengjun
  • Hu, Haoyu
  • Yan, Jie
  • Chen, Xiaoping

Abstract

Countries have invested in transport infrastructure and public service in recent years to reduce rural poverty and income inequality. However, the effects of transport infrastructure on the residents with economic and educational disadvantages in rural areas are still under debate. In this paper, we investigate the impact of road infrastructure on the income of rural residents at the municipal level using data from the China Family Panel Survey (CFPS) from 2010 to 2018. By using the instrumental variable regression model, we found that rural residents' household incomes benefit from road infrastructure. Within income components, road infrastructure plays a role in improving rural residents’ wage and business income. Further comparing different rural resident groups, we found that rural residents with lower initial farming and business income benefit more from improved road infrastructure in terms of their farming and business income from 2010 to 2018. In addition, in poverty-stricken areas, rural residents with lower initial farming and business income benefit more from road infrastructure in improving their farming and business income. However, the household incomes of rural residents with low formal education improve less as a result of road infrastructure. Policymakers should thus consider combining transport infrastructure provision with other policy packages, such as education program or skill training, to target different groups of rural residents in China.

Suggested Citation

  • Lu, Haiyan & Zhao, Pengjun & Hu, Haoyu & Yan, Jie & Chen, Xiaoping, 2023. "Exploring the heterogeneous impact of road infrastructure on rural residents’ income: Evidence from nationwide panel data in China," Transport Policy, Elsevier, vol. 134(C), pages 155-166.
    • Handle: RePEc:eee:trapol:v:134:y:2023:i:c:p:155-166
    DOI: 10.1016/j.tranpol.2023.02.019
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0967070X23000501
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.tranpol.2023.02.019?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Zhiyang Wang & Sizhong Sun, 2016. "Transportation infrastructure and rural development in China," China Agricultural Economic Review, Emerald Group Publishing Limited, vol. 8(3), pages 516-525, September.
    2. Sitakanta Panda, 2015. "Farmer education and household agricultural income in rural India," International Journal of Social Economics, Emerald Group Publishing Limited, vol. 42(6), pages 514-529, June.
    3. Francisco, Kris A. & Tanaka, Makoto, 2019. "Does public infrastructure affect human capital? The effect of improved transport connectivity on children's education in the Philippines," Economics of Education Review, Elsevier, vol. 73(C).
    4. Zhao, Pengjun & Yu, Zhao, 2020. "Investigating mobility in rural areas of China: Features, equity, and factors," Transport Policy, Elsevier, vol. 94(C), pages 66-77.
    5. Zhenxiong Huang & Hangtian Xu & Jianming Li & Nengsheng Luo, 2020. "Has highway construction narrowed the urban–rural income gap? Evidence from Chinese cities," Papers in Regional Science, Wiley Blackwell, vol. 99(3), pages 705-723, June.
    6. Fan, Shenggen & Chan-Kang, Connie, 2008. "Regional road development, rural and urban poverty: Evidence from China," Transport Policy, Elsevier, vol. 15(5), pages 305-314, September.
    7. Hernandez, Diego, 2018. "Uneven mobilities, uneven opportunities: Social distribution of public transport accessibility to jobs and education in Montevideo," Journal of Transport Geography, Elsevier, vol. 67(C), pages 119-125.
    8. Allen, Jeff & Farber, Steven, 2019. "Sizing up transport poverty: A national scale accounting of low-income households suffering from inaccessibility in Canada, and what to do about it," SocArXiv ua2gj, Center for Open Science.
    9. Adeleke Oluwole Salami & Abdul Kamara & Zuzana Brixiova, 2010. "Working Paper 105 - Smallholder Agriculture in East Africa: Trends, Constraints and Opportunities," Working Paper Series 242, African Development Bank.
    10. Sam Asher & Paul Novosad, 2020. "Rural Roads and Local Economic Development," American Economic Review, American Economic Association, vol. 110(3), pages 797-823, March.
    11. Janvry, Alain de & Sadoulet, Elisabeth, 2001. "Income Strategies Among Rural Households in Mexico: The Role of Off-farm Activities," World Development, Elsevier, vol. 29(3), pages 467-480, March.
    12. Yu, Nannan & de Jong, Martin & Storm, Servaas & Mi, Jianing, 2013. "Spatial spillover effects of transport infrastructure: evidence from Chinese regions," Journal of Transport Geography, Elsevier, vol. 28(C), pages 56-66.
    13. Wei Zou & Fen Zhang & Ziyin Zhuang & Hairong Song, 2008. "Transport Infrastructure, Growth, and Poverty Alleviation: Empirical Analysis of China," Annals of Economics and Finance, Society for AEF, vol. 9(2), pages 345-371, November.
    14. Fan, Shenggen & Chan-Kang, Connie, 2004. "Road development, economic growth, and poverty reduction in China," DSGD discussion papers 12, International Food Policy Research Institute (IFPRI).
    15. Li, Yan & DaCosta, Maria N., 2013. "Transportation and income inequality in China: 1978–2007," Transportation Research Part A: Policy and Practice, Elsevier, vol. 55(C), pages 56-71.
    16. Qin, Yu & Zhang, Xiaobo, 2016. "The Road to Specialization in Agricultural Production: Evidence from Rural China," World Development, Elsevier, vol. 77(C), pages 1-16.
    17. Zhiyang Wang & Sizhong Sun, 2016. "Transportation infrastructure and rural development in China," China Agricultural Economic Review, Emerald Group Publishing Limited, vol. 8(3), pages 516-525, September.
    18. Sitakanta Panda, 2015. "Farmer education and household agricultural income in rural India," International Journal of Social Economics, Emerald Group Publishing Limited, vol. 42(6), pages 514-529, June.
    19. Motte-Baumvol, Benjamin & Nassi, Carlos D., 2012. "Immobility in Rio de Janeiro, beyond poverty," Journal of Transport Geography, Elsevier, vol. 24(C), pages 67-76.
    20. Kirtti Ranjan Paltasingh & Phanindra Goyari, 2018. "Impact of farmer education on farm productivity under varying technologies: case of paddy growers in India," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 6(1), pages 1-19, December.
    21. Gina Porter, 2014. "Transport Services and Their Impact on Poverty and Growth in Rural Sub-Saharan Africa: A Review of Recent Research and Future Research Needs," Transport Reviews, Taylor & Francis Journals, vol. 34(1), pages 25-45, January.
    22. Allen, Jeff & Farber, Steven, 2019. "Sizing up transport poverty: A national scale accounting of low-income households suffering from inaccessibility in Canada, and what to do about it," Transport Policy, Elsevier, vol. 74(C), pages 214-223.
    23. Shahidur R. Khandker & Zaid Bakht & Gayatri B. Koolwal, 2009. "The Poverty Impact of Rural Roads: Evidence from Bangladesh," Economic Development and Cultural Change, University of Chicago Press, vol. 57(4), pages 685-722, July.
    24. John Knight & Li Shi & Deng Quheng, 2010. "Education and the Poverty Trap in Rural China: Closing the Trap," Oxford Development Studies, Taylor & Francis Journals, vol. 38(1), pages 1-24.
    25. T.S. Jayne & Jordan Chamberlin & Lulama Traub & Nicholas Sitko & Milu Muyanga & Felix K. Yeboah & Ward Anseeuw & Antony Chapoto & Ayala Wineman & Chewe Nkonde & Richard Kachule, 2016. "Africa's changing farm size distribution patterns: the rise of medium-scale farms," Agricultural Economics, International Association of Agricultural Economists, vol. 47(S1), pages 197-214, November.
    26. Jiandong Chen & Sishi Rong & Malin Song, 2021. "Poverty Vulnerability and Poverty Causes in Rural China," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 153(1), pages 65-91, January.
    27. Seetanah, B. & Ramessur, S. & Rojid, S., 2009. "Does Infrastructure Alleviates Poverty in Developing Countries?," International Journal of Applied Econometrics and Quantitative Studies, Euro-American Association of Economic Development, vol. 9(2).
    28. Corral, Leonardo & Reardon, Thomas, 2001. "Rural Nonfarm Incomes in Nicaragua," World Development, Elsevier, vol. 29(3), pages 427-442, March.
    29. Lu, Haiyan & Zhao, Pengjun & Hu, Haoyu & Zeng, Liangen & Wu, Kai Sheng & Lv, Di, 2022. "Transport infrastructure and urban-rural income disparity: A municipal-level analysis in China," Journal of Transport Geography, Elsevier, vol. 99(C).
    30. Gachassin, Marie & Najman, Boris & Raballand, Gael, 2010. "The impact of roads on poverty reduction : a case study of Cameroon," Policy Research Working Paper Series 5209, The World Bank.
    31. Weidong Li & Xuefang Wang & Olli-Pekka Hilmola, 2020. "Does High-Speed Railway Influence Convergence of Urban-Rural Income Gap in China?," Sustainability, MDPI, vol. 12(10), pages 1-14, May.
    32. Zhao, Xiaoxue, 2020. "Land and labor allocation under communal tenure: Theory and evidence from China," Journal of Development Economics, Elsevier, vol. 147(C).
    33. repec:bla:devpol:v:26:y:2008:i:4:p:459-482 is not listed on IDEAS
    34. Roger Vickerman & Klaus Spiekermann & Michael Wegener, 1999. "Accessibility and Economic Development in Europe," Regional Studies, Taylor & Francis Journals, vol. 33(1), pages 1-15.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Meseret Chanieabate & Hai He & Chuyue Guo & Betelhem Abrahamgeremew & Yuanji Huang, 2023. "Examining the Relationship between Transportation Infrastructure, Urbanization Level and Rural-Urban Income Gap in China," Sustainability, MDPI, vol. 15(10), pages 1-20, May.
    2. Muziyun Liu & Hui Liu, 2024. "The Influence and Mechanism of Digital Village Construction on the Urban–Rural Income Gap under the Goal of Common Prosperity," Agriculture, MDPI, vol. 14(5), pages 1-21, May.
    3. Quan Sun & Lexin Zhao, 2023. "The Impact of Rural Enterprise Park Policy on the Income of Rural Residents: Evidence from China," Sustainability, MDPI, vol. 15(11), pages 1-15, June.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Lu, Haiyan & Zhao, Pengjun & Hu, Haoyu & Zeng, Liangen & Wu, Kai Sheng & Lv, Di, 2022. "Transport infrastructure and urban-rural income disparity: A municipal-level analysis in China," Journal of Transport Geography, Elsevier, vol. 99(C).
    2. Yang Zhou & Chunyang Tong & Yongsheng Wang, 2022. "Road construction, economic growth, and poverty alleviation in China," Growth and Change, Wiley Blackwell, vol. 53(3), pages 1306-1332, September.
    3. Suchi Kapoor Malhotra & Howard White & Nina Ashley O. Dela Cruz & Ashrita Saran & John Eyers & Denny John & Ella Beveridge & Nina Blöndal, 2021. "Studies of the effectiveness of transport sector interventions in low‐ and middle‐income countries: An evidence and gap map," Campbell Systematic Reviews, John Wiley & Sons, vol. 17(4), December.
    4. Yanyan Gao & Xinping Wang, 2023. "Chinese agriculture in the age of high‐speed rail: Effects on agricultural value added and food output," Agribusiness, John Wiley & Sons, Ltd., vol. 39(2), pages 387-405, March.
    5. Tong, Tingting & Yu, T. Edward, 2018. "Transportation and economic growth in China: A heterogeneous panel cointegration and causality analysis," Journal of Transport Geography, Elsevier, vol. 73(C), pages 120-130.
    6. Meseret Chanieabate & Hai He & Chuyue Guo & Betelhem Abrahamgeremew & Yuanji Huang, 2023. "Examining the Relationship between Transportation Infrastructure, Urbanization Level and Rural-Urban Income Gap in China," Sustainability, MDPI, vol. 15(10), pages 1-20, May.
    7. Kumari, Anita & Kumar Sharma, Anil, 2017. "Infrastructure financing and development: A bibliometric review," International Journal of Critical Infrastructure Protection, Elsevier, vol. 16(C), pages 49-65.
    8. Boisjoly, Geneviève & Serra, Bernardo & Oliveira, Gabriel T. & El-Geneidy, Ahmed, 2020. "Accessibility measurements in São Paulo, Rio de Janeiro, Curitiba and Recife, Brazil," Journal of Transport Geography, Elsevier, vol. 82(C).
    9. Zehua Wang & Fachao Liang & Sheng-Hau Lin, 2023. "Can socially sustainable development be achieved through homestead withdrawal? A hybrid multiple-attributes decision analysis," Palgrave Communications, Palgrave Macmillan, vol. 10(1), pages 1-18, December.
    10. Xiao, Han & Zheng, Xinye & Xie, Lunyu, 2022. "Promoting pro-poor growth through infrastructure investment: Evidence from the Targeted Poverty Alleviation program in China," China Economic Review, Elsevier, vol. 71(C).
    11. Tao, Sui & Cheng, Long & He, Sylvia & Witlox, Frank, 2023. "Examining the non-linear effects of transit accessibility on daily trip duration: A focus on the low-income population," Journal of Transport Geography, Elsevier, vol. 109(C).
    12. Goliszek Sławomir, 2022. "The potential accessibility to workplaces and working-age population by means of public and private car transport in Szczecin," Miscellanea Geographica. Regional Studies on Development, Sciendo, vol. 26(1), pages 31-41, January.
    13. Jin, Mengjie & Shi, Wenming & Liu, Yu & Xu, Xiaoling & Li, Kevin X., 2022. "Heterogeneous impact of high speed railway on income distribution: A case study in China," Socio-Economic Planning Sciences, Elsevier, vol. 79(C).
    14. Sławomir Goliszek, 2021. "GIS tools and programming languages for creating models of public and private transport potential accessibility in Szczecin, Poland," Journal of Geographical Systems, Springer, vol. 23(1), pages 115-137, January.
    15. Jin, Mengjie & Gu, Ruyue & Li, Kevin X. & Shi, Wenming & Xiao, Yi, 2024. "Heterogeneous impacts of the high-speed railway network on urban–rural income disparity: Spatiotemporal evidence from Yangtze River Delta of China," Transportation Research Part A: Policy and Practice, Elsevier, vol. 183(C).
    16. Zhao, Pengjun & Yu, Zhao, 2021. "Rural poverty and mobility in China: A national-level survey," Journal of Transport Geography, Elsevier, vol. 93(C).
    17. María Adelaida Ortega, 2018. "Conectando mercados: vías rurales y producción agrícola en el contexto de una economía dual," Documentos CEDE 16818, Universidad de los Andes, Facultad de Economía, CEDE.
    18. Tran, Dai Binh & Tran, Hanh Thi My & Pham, Thao Dinh Ngoc & Nguyen, Thuy Thanh, 2023. "Education and agricultural household income: Comparative evidence from Vietnam and Thailand," World Development Perspectives, Elsevier, vol. 29(C).
    19. Goliszek Sławomir & Połom Marcin & Duma Patryk, 2020. "Potential and cumulative accessibility of workplaces by public transport in Szczecin," Bulletin of Geography. Socio-economic Series, Sciendo, vol. 50(50), pages 133-146, December.
    20. Khondoker Abdul Mottaleb & Dil Bahadur Rahut, 2019. "Impacts of Improved Infrastructure on Labor Allocation and Livelihoods: The Case of the Jamuna Multipurpose Bridge, Bangladesh," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 31(4), pages 750-778, September.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:trapol:v:134:y:2023:i:c:p:155-166. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/30473/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.