| Promoting metropolis functions of transfer and radiation ability to develop rural economy and fostering a dynamic,special and character rural economy in planning for the 13 th Five Year Plan in 2015.But the government's public goods supply have serious structural deflection,urban and rural bias.For example,more and more resources have allocated to the center of the developed cities.Relatively,poor and backward region are short of resources which lead to C hina's urban and rural dual structure.Thus,some parts of the gap between urban and rural areas are in the constantly expanding.And there are some big cities like Beijing,Shanghai,guangzhou,shenzhen production center.Wha t's more,C hina's coastal areas are more developed than the central and western regions,"the bay area economy" phenomenon in the world are also growing.Disequilibrium of economic phenomena is normal,so the government constantly take policy measures intervention behavior to narrow the gap between regional economy.Is large-scale transportation infrastructure investment also suitable for the county area?This paper treat the 1992's "five vertical and seven horizontal" national trunk highway projects as a natural experiment and apply the difference in difference method to identify the national trunk highway system how to affect industrial firm performance which locate in county area.This paper apply ArcGIS to build a industrial enterprises and natio nal trunk highway geographical information system with C hinese industrial enterprises mixed cross-section data and national trunk highway project data.This study found that: the performance of firms which are close to the national trunk highway is lower than performance of firms which are far away from the national trunk highway.The reason may be is that the improvement of the transportation infrastructure has broken the balance of county area,thus lead to higher transaction costs,and the region's industrial firm performance decline. |
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