ABSTRACT
This empirical study explores the relationship between land mortgage financing and urban economic development from the perspective of spatial spillovers. We develop a spatial Durbin model (SDM) using a dataset for 83 Chinese cities over the period 2007–2015, and find that land mortgage financing not only promotes local economic development, but also has a positive spatial spillover effect on economic development in other cities. Urban fixed assets investment plays a partial mediation role. However, compared with that of other cities, this positive spatial spillover is significantly weaker for the economic development of megacities and industrial cities.
Disclosure statement
No potential conflict of interest was reported by the author(s).
Notes
1 The data for the dependent variable and control variables came from the “China Municipal Statistics Yearbook”.
2 Since the empirical analysis is only for 83 cities, and the simple contiguity matrices would lead to biases in spatial correlation, we set 1000 km as the standard distance.
3 The results of using other matrices are still robust to those in .