Linking Administrative Datasets

Innovation and GDP Levels

Impact of Tax Reform on Innovation

  • Impact of corporate tax reform on firm innovation
  • Exploit 2004 VAT pilot tax reform in NE China
  • DID Design: \(Y_{it} = \beta_0 + \beta_1VAT_i + \beta_2 FC_t + \beta_3(VAT_i \times FC_t) + \epsilon_{it}\)

Source: Howell, A. (2016), Research Policy.

Technological Related Spillovers

Economic Development Zones

  • 2009: 20% of firms in some kind of EDZ
  • Measure Productivity Spillovers: Matching w/ DID & Event Analysis

\[Y_{ic}^{s} = \beta_0 + \delta After_{ic}^{s} + \beta_1 EDZ_{ic}^{ml} + \delta_1(After_{ic}^{s} \times EDZ_{ic}^{ml} ) + u_{ic}\]

  • 15% increase in productivity, s=0
  • Source: Howell, 2019, Journal of Regional Science

City Industry Encouragement

  • 7,000+ City Industrial Development Reports, 2001-2013

  • Counterfactual Results: Space-Neutral Policy \(\uparrow\) average TFP by 15%

Land Grabs and Municipal Corruption

  • 1.5 Million land transactions at parcel level
  • Corruption proxy: gap between actual and paid price
  • Link to urban sprawl patterns across cities