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Does Mobile Payment Adoption Really Increase Online Shopping Expenditure in China?

Author

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  • Muzaffarjon Ahunov
  • Leo Van Hove

Abstract

Wei Yang, Puneet Vatsa, Wanglin Ma, and Hongyun Zheng (2023) find, with data for China, that women consumers do more online shopping expenditure if they have adopted mobile payment instruments, but they do not find the result for men. We show that Yang et al.’s analysis has multiple weaknesses. Besides a number of econometric mistakes, there is a crucial conceptual flaw in that one should not expect to see a spending effect for respondents who do not own a mobile phone and/or do not shop online. When we eliminate these respondents and use the appropriate econometric approach, we find completely different results, both in terms of magnitude and where the gender effect is concerned.

Suggested Citation

  • Muzaffarjon Ahunov & Leo Van Hove, 2025. "Does Mobile Payment Adoption Really Increase Online Shopping Expenditure in China?," Econ Journal Watch, Econ Journal Watch, vol. 22(1), pages 1-69–90, March.
    • Handle: RePEc:ejw:journl:v:22:y:2025:i:1:p:69-90
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    More about this item

    Keywords

    Mobile payments; online shopping expenditure; spending effect; gender differences; China;
    All these keywords.

    JEL classification:

    • E42 - Macroeconomics and Monetary Economics - - Money and Interest Rates - - - Monetary Sytsems; Standards; Regimes; Government and the Monetary System
    • L81 - Industrial Organization - - Industry Studies: Services - - - Retail and Wholesale Trade; e-Commerce
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination

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