IDEAS home Printed from https://ideas.repec.org/a/gam/jlands/v10y2021i6p634-d574959.html
   My bibliography  Save this article

The Mediating Role of Social Capital in Digital Information Technology Poverty Reduction an Empirical Study in Urban and Rural China

Author

Listed:
  • Zhen Liu

    (School of Business, Nanjing Normal University, No. 1 Wenyuan Road, Nanjing 210023, China)

  • Yiming Wei

    (School of Business, Nanjing Normal University, No. 1 Wenyuan Road, Nanjing 210023, China)

  • Qiuming Li

    (School of Business, Nanjing Normal University, No. 1 Wenyuan Road, Nanjing 210023, China)

  • Jing Lan

    (College of Public Administration, Nanjing Agricultural University, No. 1 Weigang, Nanjing 210095, China)

Abstract

Widespread use of digital information technology is having a significant impact on economic growth and people’s well-being. This paper assesses the mediating role of social capital in the impact of digital information technology on multidimensional poverty. Due to differences in regional, industrial structure and other factors, digital information technology has different impacts on urban and rural residents. In this paper, the China Family Panel Studies (CFPS) database is used for data, and a mediating effect model is used to study the problem. The digital information technology use was found to enhance social capital from social network, social participation and social trust, and subsequently alleviates multidimensional poverty. The results indicate that social trust plays a more significant mediating role than social capital and social participation on the impact of digital information technology on multidimensional poverty. Furthermore, the results reveal that the use of digital information technology has varying effects on poverty reduction among different income groups, with a much higher effect on low-income groups. However, the mediating effect of social capital in high-income groups is higher than that in low-income groups. In particular, social capital in the top 25% of income groups has the highest mediating effect. In the heterogeneity analysis between urban and rural areas, it is found that the multidimensional poverty situation in urban areas is significantly better than that in rural areas, because urban residents have a higher use of digital information, and at the same time, the quality of social capital in urban and rural groups is different, leading to the difference in the effect of digital information technology on poverty reduction of multidimensional poverty. Based on the results of the study, we believe that the use of digital information technology has actually improved the multi-dimensional poverty status of all groups, and social capital plays a key mediating role in it. Relying on the progress of digital information technology, we can build more convenient social network. Establish more adequate channels of information communication, enhance social trust and social participation, and alleviate multidimensional poverty.

Suggested Citation

  • Zhen Liu & Yiming Wei & Qiuming Li & Jing Lan, 2021. "The Mediating Role of Social Capital in Digital Information Technology Poverty Reduction an Empirical Study in Urban and Rural China," Land, MDPI, vol. 10(6), pages 1-21, June.
    • Handle: RePEc:gam:jlands:v:10:y:2021:i:6:p:634-:d:574959
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2073-445X/10/6/634/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2073-445X/10/6/634/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Sen, Amartya, 2001. "Development as Freedom," OUP Catalogue, Oxford University Press, number 9780192893307, Decembrie.
    2. Fafchamps, Marcel & Gubert, Flore, 2007. "The formation of risk sharing networks," Journal of Development Economics, Elsevier, vol. 83(2), pages 326-350, July.
    3. Rati Ram, 2013. "Social Capital and Income Inequality in the United States," Atlantic Economic Journal, Springer;International Atlantic Economic Society, vol. 41(1), pages 89-91, March.
    4. Sabina Alkire & James Foster, 2011. "Understandings and misunderstandings of multidimensional poverty measurement," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 9(2), pages 289-314, June.
    5. repec:dau:papers:123456789/4392 is not listed on IDEAS
    6. Narayan, Deepa & Pritchett, Lant, 1999. "Cents and Sociability: Household Income and Social Capital in Rural Tanzania," Economic Development and Cultural Change, University of Chicago Press, vol. 47(4), pages 871-897, July.
    7. repec:dau:papers:123456789/10840 is not listed on IDEAS
    8. Nadine Fabritz, 2013. "The Impact of Broadband on Economic Activity in Rural Areas: Evidence from German Municipalities," ifo Working Paper Series 166, ifo Institute - Leibniz Institute for Economic Research at the University of Munich.
    9. Fisman, Raymond & Khanna, Tarun, 1999. "Is trust a historical residue? Information flows and trust levels," Journal of Economic Behavior & Organization, Elsevier, vol. 38(1), pages 79-92, January.
    10. Marcel Fafchamps & Flore Gubert, 2007. "Risk Sharing and Network Formation," American Economic Review, American Economic Association, vol. 97(2), pages 75-79, May.
    11. Han, Sehee, 2013. "Compositional and contextual associations of social capital and self-rated health in Seoul, South Korea: A multilevel analysis of longitudinal evidence," Social Science & Medicine, Elsevier, vol. 80(C), pages 113-120.
    12. Lee, Sang-Hyop & Kim, Jonghyuk, 2004. "Has the Internet changed the wage structure too?," Labour Economics, Elsevier, vol. 11(1), pages 119-127, February.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Maria-Daniela TUDORACHE, 2022. "Poverty in Romania: an analysis at regional level," Theoretical and Applied Economics, Asociatia Generala a Economistilor din Romania / Editura Economica, vol. 0(2(631), S), pages 81-88, Summer.
    2. Xiaohan Li & Yang Lv & Md Nazirul Islam Sarker & Xun Zeng, 2022. "Assessment of Critical Diffusion Factors of Public–Private Partnership and Social Policy: Evidence from Mainland Prefecture-Level Cities in China," Land, MDPI, vol. 11(3), pages 1-15, February.
    3. Kaijian Li & Ruopeng Huang & Guiwen Liu & Asheem Shrestha & Xinyue Fu, 2022. "Social Capital in Neighbourhood Renewal: A Holistic and State of the Art Literature Review," Land, MDPI, vol. 11(8), pages 1-27, July.
    4. Xian Liang & Hui Xiao & Fangmiao Hou & Xuan Guo & Lishan Li & Longjunjiang Huang, 2024. "Breaking the chains of poverty: examining the influence of smartphone usage on multidimensional poverty in rural settings," Palgrave Communications, Palgrave Macmillan, vol. 11(1), pages 1-17, December.
    5. Shunran Wang & Fangping Rao & Xianlei Ma & Xiaoping Shi, 2022. "Farmland Dispute Prevention: The Role of Land Titling, Social Capital and Household Capability," Land, MDPI, vol. 11(10), pages 1-14, October.
    6. Tamisai Chipunza & Lungile Ntsalaze, 2025. "Multi-dimensional poverty: a bibliometric analysis and content co-occurrence literature review," Palgrave Communications, Palgrave Macmillan, vol. 12(1), pages 1-12, December.
    7. Xiaowen Dai & Yi Chen & Chunyan Zhang & Yanqiu He & Jiajia Li, 2023. "Technological Revolution in the Field: Green Development of Chinese Agriculture Driven by Digital Information Technology (DIT)," Agriculture, MDPI, vol. 13(1), pages 1-18, January.
    8. Wang, Shangrui & Cao, Anran & Wang, Guohua & Xiao, Yiming, 2022. "The Impact of energy poverty on the digital divide: The mediating effect of depression and Internet perception," Technology in Society, Elsevier, vol. 68(C).
    9. Zhi Fang & Li Huang & Huan Zhang, 2023. "Analyzing the Impact of Geographic Environment Differences on the Dual Backwardness of Rural Economy and Information in the Perspective of Digital Poverty," Sustainability, MDPI, vol. 15(5), pages 1-11, February.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Alia Aghajanian & Patricia Justino & Jean-Pierre Tranchant, 2020. "Riots and social capital in urban India," WIDER Working Paper Series wp-2020-42, World Institute for Development Economic Research (UNU-WIDER).
    2. Aoyagi, Keitaro & Sawada, Yasuyuki & Shoji, Masahiro, 2022. "Irrigation infrastructure and trust: Evidence from natural and lab-in-the-field experiments in rural communities," World Development, Elsevier, vol. 156(C).
    3. Masahiro Shoji & Keitaro Aoyagi & Ryuji Kasahara & Yasuyuki Sawada, 2020. "Motives behind community participation: Evidence from natural and artefactual field experiments in Sri Lanka," Pacific Economic Review, Wiley Blackwell, vol. 25(5), pages 577-600, December.
    4. Konstantinos Matakos & Dimitrios Minos & Ari Perdana & Elizabeth Radin, 2022. "“Dragon boating” alone? Community ties and systemic income shocks," Journal of International Development, John Wiley & Sons, Ltd., vol. 34(1), pages 55-81, January.
    5. Xi Chen, 2014. "Gift-Giving and Network Structure in Rural China: Utilizing Long-Term Spontaneous Gift Records," PLOS ONE, Public Library of Science, vol. 9(8), pages 1-14, August.
    6. Simone Gobien & Björn Vollan, 2013. "Playing with the social network: Social cohesion in resettled and non-resettled communities in Cambodia," Working Papers 2013-16, Faculty of Economics and Statistics, Universität Innsbruck.
    7. Cui Zhang & Dandan Zhang, 2023. "Spatial Interactions and the Spread of COVID-19: A Network Perspective," Computational Economics, Springer;Society for Computational Economics, vol. 62(1), pages 383-405, June.
    8. Sriroop Chaudhuri & Mimi Roy & Louis M. McDonald & Yves Emendack, 2021. "Reflections on farmers’ social networks: a means for sustainable agricultural development?," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 23(3), pages 2973-3008, March.
    9. Kerui Du & Qilin Huang & Presley K. Wesseh, 2025. "Domestic Pollution Havens: Linking Interregional Capital Flight and Water Pollution Regulation in China," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 88(1), pages 125-161, January.
    10. Chakraborty, Tanika & Pandey, Manish, 2021. "Temporary International Migration, Shocks and Informal Insurance: Analysis using panel data," GLO Discussion Paper Series 759, Global Labor Organization (GLO).
    11. Bryan S. Graham, 2017. "An econometric model of network formation with degree heterogeneity," CeMMAP working papers 08/17, Institute for Fiscal Studies.
    12. Fredriksson, Per G. & Mohanty, Aatishya, 2021. "Sunlight and Culture," Journal of Economic Behavior & Organization, Elsevier, vol. 188(C), pages 757-782.
    13. Anh Thu Quang Pham & Pundarik Mukhopadhaya, 2022. "Multidimensionl Poverty and The Role of Social Capital in Poverty Alleviation Among Ethnic Groups in Rural Vietnam: A Multilevel Analysis," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 159(1), pages 281-317, January.
    14. Christian Ahlin & Hyeok Jeong, 2021. "A conditional Gini: measure, estimation, and application," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 19(2), pages 363-384, June.
    15. Joseph B. Ajefu & Ayse Demir & Padmali Rodrigo, 2023. "Covid-19-induced Shocks, Access to Basic Needs and Coping Strategies," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 35(6), pages 1347-1368, December.
    16. Atsebi, Jean-Marc Bédhat & Ferrer-i-Carbonell, Ada, 2022. "Relative deprivation in Tanzania: Relative concerns and empathy," Journal of Economic Behavior & Organization, Elsevier, vol. 198(C), pages 389-408.
    17. Ronak Jain & Vatsal Khandelwal, 2024. "Silent networks: the role of inaccurate beliefs in reducing useful social interactions," ECON - Working Papers 455, Department of Economics - University of Zurich.
    18. Yasuyuki Todo & Keita Oikawa & Masahito Ambashi & Fukunari Kimura & Shujiro Urata, 2023. "Robustness and resilience of supply chains during the COVID‐19 pandemic," The World Economy, Wiley Blackwell, vol. 46(6), pages 1843-1872, June.
    19. Koen Jochmans & Martin Weidner, 2019. "Fixed‐Effect Regressions on Network Data," Econometrica, Econometric Society, vol. 87(5), pages 1543-1560, September.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jlands:v:10:y:2021:i:6:p:634-:d:574959. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.