Economics, Econometrics and Finance
4 years ago

China's Free Trade Zones Boost Innovation Through Knowledge Spillover Effects.

Growth and Change
Spatial evaluation of knowledge spillover benefits in China’s free trade zone provinces and cities
Haoqiang Li, Jihong Chen, Zheng Wan, Huaxin Zhang, Maoxin Wang, Yun Bai

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China's free trade zones (FTZs) are boosting regional economic growth. To see how knowledge spreads in different FTZs, researchers looked at data from 2017. They found that economically developed regions have smaller knowledge spillover effects within their own FTZs but bigger effects on others. FTZs in southeastern coastal areas have the highest spillover effects. This info can help governments make better policies for encouraging innovation in different FTZs.