The Study On The Influence Of Rural Highways On Provincial Urban-rural Income Gap In China

For a long time,the construction of rural highways,which were financed by local government,was constrained by lacking of money,and it was one of important factors which affected the regional economic development.But in 2006,the central government proposed the object of construction of new socialist countryside,encourages the local government to take the major role,and subsidized the construction of rural highways.It was a good opportunity for the construction of rural highways.And the rural highways grow rapidly.In addition,accompany with economic prospernty,the problem of unfairness in income distribution has become increasingly prominent.It is important to discuss whether the construction of rural roads can narrow the income gap between urban and rural areas and achieve rural revitalization,so as to make people feel satisfied and happy.From literature review,the studies on the urban-rural income gap mainly focus on education?economic system?industry structure?urbanization and so on.And few study from perspective of the infrastructure,especially from rural highways.The method also ignores the spatial spillover of transportation infrastructure.Based on this,the paper focus on the impact of construction of rural highways on the urban-rural income gap.Although widening the income gap between the urban and rural in the past two decades,we curious about whether the construction of rural highways has a positive effect on narrowing the urban-rural income gap?And we make some policy suggestions.The paper mainly includes four parts:first,based on the statistical data,we analyze the development of rural highways and income gap between urban and rural,which make the preparation for further study.Second,we study the reference theoretical basis,theories about transportation economy and income distribution,further analyze the mechanism of impact of rural highways on both urban and rural residence and the urban-rural income gap,propose the research hypothesis.Third,in the three weight matrices models,we use the 1993-2016 province-level panel data and the method of dynamic spatial Durbin model to analysis the direct effect of rural highway supply on urban and rural income distribution and spatial spillover effect.And the conclusions will be helpful when government try to make the policy to address the problem of widening urban-rural income gap.Fourth,we make the policy suggestions about how to make use of the distribution effect of transportation infrastructure to narrow the urban-rural income gap.According to our analysis,we have the conclusions that the construction of rural highways has a positive effect on narrowing the urban-rural gap,and has a significant spatial spillover effect.Meanwhile,the influence of the construction of national and provincial highways is similar to that of rural highways;especially has greater effect of the construction of provincial roads.At the same time,the"open-door to the outside world"policy also has a significant positive effect on narrowing the urban-rural income gap,and has a significant spatial spillover effect.Unbalanced financial development has apositive effect on narrowing the urban-rural gap,which has a significant spatial spillover effect.Urbanization and upgrading of industrial structure have a significant negative effect on narrowing the urban-rural income gap,and have no significant spatial spillover effect.The ratios of education level and plain area have apositive effects on narrowing the urban-rural gap,and have no significant spatial spillover effect.So,we need to strengthen the spatial correlation,and making policy collaboratively among regions.At the same time,we need to build more infrastructures,especially rural highways,to narrowing the urban-rural income gap.We also need to press ahead with various financial policies that benefit farmers,open the economy wider to the outside world,and attach importance to the structural adjustment of agriculture.And we need to promote the mobility of resources,and to gradually eliminate the separation between urban and rural.