IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v15y2023i11p8704-d1157744.html
   My bibliography  Save this article

Has Digital Village Construction Improved Rural Family Resilience in China? Evidence Based on China Household Finance Survey

Author

Listed:
  • Zheng Cai

    (School of Public Administration and Law, Northeast Agricultural University, Harbin 150030, China)

  • Shengsheng Li

    (School of Public Administration and Law, Northeast Agricultural University, Harbin 150030, China)

  • Di Cheng

    (School of Public Administration and Law, Northeast Agricultural University, Harbin 150030, China)

Abstract

The development of digital village construction to improve rural family resilience (RFR) is emerging as a key focus area and target of China’s rural revitalization strategy. However, there is limited evidence available on the impacts of digital village construction on RFR measures. This paper aimed to examine the effect and mechanism of digital village construction on rural family resilience based on the micro panel data of the China Household Finance Survey (CHFS) from 2015 to 2019 to empirically test the effect and mechanism of targeted digital village construction on the resilience of rural family. This research also examined the role of farmers’ entrepreneurial dynamism in the process. Unlike previous studies, we included family welfare into the measurement framework of RFR. Therefore, RFR was represented by the probability that household welfare exceeds a certain standard. The research found that rural communities quickly transformed from one stable state to another when the external shocks exceeded the threshold of rural resilience. The development of digital village construction can effectively reduce the probability of changing the existing steady state when rural families face shocks. At the national level, farmers’ entrepreneurial dynamism had a positive moderating effect on the RFR of the digital village. In the more developed eastern region, digital village construction was relatively advanced and had a significant effect on farmers’ income growth. Conversely, the digital village construction in the central, northeastern, and western regions was less developed; moreover, it had a weaker impact than that in the eastern area. Therefore, the regional reality and gap should be fully considered when constructing a digital village.

Suggested Citation

  • Zheng Cai & Shengsheng Li & Di Cheng, 2023. "Has Digital Village Construction Improved Rural Family Resilience in China? Evidence Based on China Household Finance Survey," Sustainability, MDPI, vol. 15(11), pages 1-20, May.
  • Handle: RePEc:gam:jsusta:v:15:y:2023:i:11:p:8704-:d:1157744
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/15/11/8704/pdf
    Download Restriction: no

    File URL: https://www.mdpi.com/2071-1050/15/11/8704/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Allen, Franklin & Demirguc-Kunt, Asli & Klapper, Leora & Martinez Peria, Maria Soledad, 2016. "The foundations of financial inclusion: Understanding ownership and use of formal accounts," Journal of Financial Intermediation, Elsevier, vol. 27(C), pages 1-30.
    2. Lu, Yi & Xie, Huihua & Xu, Lixin Colin, 2016. "Telecommunication externality on migration: Evidence from Chinese villages," China Economic Review, Elsevier, vol. 39(C), pages 77-90.
    3. Zhang Huafeng, 2016. "Household vulnerability and economic status during disaster recovery and its determinants: a case study after the Wenchuan earthquake," Natural Hazards: Journal of the International Society for the Prevention and Mitigation of Natural Hazards, Springer;International Society for the Prevention and Mitigation of Natural Hazards, vol. 83(3), pages 1505-1526, September.
    4. Mark, Tyler B. & Griffin, Terry W. & Whitacre, Brian E., 2016. "The Role of Wireless Broadband Connectivity on ‘Big Data’ and the Agricultural Industry in the United States and Australia," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 19(A), pages 1-14, June.
    5. Barrett, Christopher B. & Ghezzi-Kopel, Kate & Hoddinott, John & Homami, Nima & Tennant, Elizabeth & Upton, Joanna & Wu, Tong, 2021. "A scoping review of the development resilience literature: Theory, methods and evidence," World Development, Elsevier, vol. 146(C).
    6. Banerjee, Abhijit V & Newman, Andrew F, 1993. "Occupational Choice and the Process of Development," Journal of Political Economy, University of Chicago Press, vol. 101(2), pages 274-298, April.
    7. Ruoxi Zhong & Qiang He & Yanbin Qi, 2022. "Digital Economy, Agricultural Technological Progress, and Agricultural Carbon Intensity: Evidence from China," IJERPH, MDPI, vol. 19(11), pages 1-18, May.
    8. Chris Forman & Avi Goldfarb & Shane Greenstein, 2012. "The Internet and Local Wages: A Puzzle," American Economic Review, American Economic Association, vol. 102(1), pages 556-575, February.
    9. Edward J. Malecki, 2010. "Everywhere? The Geography Of Knowledge," Journal of Regional Science, Wiley Blackwell, vol. 50(1), pages 493-513, February.
    10. Philippe Aghion & Thibault Fally & Stefano Scarpetta, 2007. "Credit constraints as a barrier to the entry and post-entry growth of firms [‘Dualism and macroeconomic volatility’]," Economic Policy, CEPR, CESifo, Sciences Po;CES;MSH, vol. 22(52), pages 732-779.
    11. Madsen, Tage Koed & Servais, Per, 1997. "The internationalization of Born Globals: An evolutionary process?," International Business Review, Elsevier, vol. 6(6), pages 561-583, December.
    12. Roberta Capello & Andrea Caragliu & Peter Nijkamp, 2011. "Territorial Capital And Regional Growth: Increasing Returns In Knowledge Use," Tijdschrift voor Economische en Sociale Geografie, Royal Dutch Geographical Society KNAG, vol. 102(4), pages 385-405, September.
    13. Birger Wernerfelt, 1984. "A resource‐based view of the firm," Strategic Management Journal, Wiley Blackwell, vol. 5(2), pages 171-180, April.
    14. Zewdie Birhanu & Argaw Ambelu & Negalign Berhanu & Abraraw Tesfaye & Kifle Woldemichael, 2017. "Understanding Resilience Dimensions and Adaptive Strategies to the Impact of Recurrent Droughts in Borana Zone, Oromia Region, Ethiopia: A Grounded Theory Approach," IJERPH, MDPI, vol. 14(2), pages 1-18, January.
    15. Qin Fan & Vania B. Salas Garcia, 2018. "Information Access and Smallholder Farmers’ Market Participation in Peru," Journal of Agricultural Economics, Wiley Blackwell, vol. 69(2), pages 476-494, June.
    16. Lisha Ye & Huiqin Yang, 2020. "From Digital Divide to Social Inclusion: A Tale of Mobile Platform Empowerment in Rural Areas," Sustainability, MDPI, vol. 12(6), pages 1-16, March.
    17. Daniel Kangogo & Domenico Dentoni & Jos Bijman, 2020. "Determinants of Farm Resilience to Climate Change: The Role of Farmer Entrepreneurship and Value Chain Collaborations," Sustainability, MDPI, vol. 12(3), pages 1-15, January.
    18. Barrett, Christopher B. & Ghezzi-Kopel, Kate & Hoddinott, John & Homami, Nima & Tennant, Elizabeth & Upton, Joanna & Wu, Tong, 2021. "A Scoping Review of the Development Resilience Literature: Theory, Methods and Evidence," Working Papers 309952, Cornell University, Department of Applied Economics and Management.
    19. Dong Zhou & Benqian Li, 2017. "How the new media impacts rural development in China: an empirical study," China Agricultural Economic Review, Emerald Group Publishing Limited, vol. 9(2), pages 238-254, May.
    20. Kathleen Sherrieb & Fran Norris & Sandro Galea, 2010. "Measuring Capacities for Community Resilience," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 99(2), pages 227-247, November.
    21. Wei Tu & Daniel Sui, 2011. "A State Transformed by Information: Texas Regional Economy in the 1990s," Regional Studies, Taylor & Francis Journals, vol. 45(4), pages 525-543.
    22. Li, Dongmei & Yang, Yuanyuan & Du, Guoming & Huang, Shanlin, 2021. "Understanding the contradiction between rural poverty and rich cultivated land resources: A case study of Heilongjiang Province in Northeast China," Land Use Policy, Elsevier, vol. 108(C).
    23. Hallberg, K., 2000. "A Market-Oriented Strategy for Small and Medium Scale Enterprises," Papers 40, World Bank - International Finance Corporation.
    24. Stiglitz, Joseph E & Weiss, Andrew, 1981. "Credit Rationing in Markets with Imperfect Information," American Economic Review, American Economic Association, vol. 71(3), pages 393-410, June.
    25. Eduardo Nakasone & Maximo Torero & Bart Minten, 2014. "The Power of Information: The ICT Revolution in Agricultural Development," Annual Review of Resource Economics, Annual Reviews, vol. 6(1), pages 533-550, October.
    26. Cissé, Jennifer Denno & Barrett, Christopher B., 2018. "Estimating development resilience: A conditional moments-based approach," Journal of Development Economics, Elsevier, vol. 135(C), pages 272-284.
    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. Ping Yin & Linjie Zhou, 2023. "Place Identity, Social Capital, and Rural Homestay Entrepreneurship Performance: The Mediating Effect of Self-Efficacy," Sustainability, MDPI, vol. 15(15), pages 1-14, August.

    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. Xuanming Ji & Kun Wang & He Xu & Muchen Li, 2021. "Has Digital Financial Inclusion Narrowed the Urban-Rural Income Gap: The Role of Entrepreneurship in China," Sustainability, MDPI, vol. 13(15), pages 1-18, July.
    2. Danyang Li & Daizo Kojima & Laping Wu & Mitsuyoshi Ando, 2024. "Impact of rural households' digital ability on their production efficiency in China," Agribusiness, John Wiley & Sons, Ltd., vol. 40(1), pages 139-160, January.
    3. Abay, Kibrom A. & Abay, Mehari H. & Berhane, Guush & Chamberlin, Jordan, 2022. "Social protection and resilience: The case of the productive safety net program in Ethiopia," Food Policy, Elsevier, vol. 112(C).
    4. Scognamillo, Antonio & Song, Chun & Ignaciuk, Adriana, 2023. "No man is an Island: A spatially explicit approach to measure development resilience," World Development, Elsevier, vol. 171(C).
    5. d’Errico, Marco & Pinay, Jeanne & Luu, Anh & Jumbe, Ellestina, "undated". "Drivers and stressors of resilience to food insecurity – Evidence from 35 countries," ESA Working Papers 319839, Food and Agriculture Organization of the United Nations, Agricultural Development Economics Division (ESA).
    6. Barituka Bekee & Corinne Valdivia, 2023. "Resilience of Rural Households: Insights from a Multidisciplinary Literature," Sustainability, MDPI, vol. 15(6), pages 1-15, March.
    7. Guillermo Boitano & Deybi Franco Abanto, 2020. "Challenges of financial inclusion policies in Peru," Revista Finanzas y Politica Economica, Universidad Católica de Colombia, vol. 12(1), pages 89-117, June.
    8. Demissie, Birhan S. & Kasie, Tesfahun A. & Upton, Joanna B. & Blom, Sylvia A., 2021. "Climate Shocks And Resilience: Evidence From Rural Ethiopia," PRCI Research Papers 320707, Michigan State University, Department of Agricultural, Food and Resource Economics, Food Security Group.
    9. Tobias Stucki, 2009. "How long do external capital constraints matter?," KOF Working papers 09-241, KOF Swiss Economic Institute, ETH Zurich.
    10. Tesfahun, Birhan S. & Kasie, A. & Upton, Joanna B. & Blom, Sylvia A., 2021. "Climate Shocks And Resilience: Evidence From Rural Ethiopia," PRCI Research Papers 321060, Michigan State University, Department of Agricultural, Food and Resource Economics, Food Security Group.
    11. Alessandra Garbero & Marco Letta, 2022. "Predicting household resilience with machine learning: preliminary cross-country tests," Empirical Economics, Springer, vol. 63(4), pages 2057-2070, October.
    12. Guo‐Hua Cao & Jing Zhang, 2022. "The entrepreneurial ecosystem of inclusive finance and entrepreneurship: A theoretical and empirical test in China," International Journal of Finance & Economics, John Wiley & Sons, Ltd., vol. 27(1), pages 1547-1568, January.
    13. Marina Dabić & Jane Maley & Leo-Paul Dana & Ivan Novak & Massimiliano M. Pellegrini & Andrea Caputo, 2020. "Pathways of SME internationalization: a bibliometric and systematic review," Small Business Economics, Springer, vol. 55(3), pages 705-725, October.
    14. Milo Bianchi, 2012. "Financial Development, Entrepreneurship, and Job Satisfaction," The Review of Economics and Statistics, MIT Press, vol. 94(1), pages 273-286, February.
    15. Juliano Junqueira Assunção, 2005. "Non-agricultural land use and land reform: theory and evidence from Brazil," Textos para discussão 496, Department of Economics PUC-Rio (Brazil).
    16. Dimelis, Sophia & Giotopoulos, Ioannis & Louri, Helen, 2015. "Can firms grow without credit?: evidence from the Euro Area, 2005-2011: a quantile panel analysis," LSE Research Online Documents on Economics 61157, London School of Economics and Political Science, LSE Library.
    17. Francesco Quatraro & Marco Vivarelli, 2015. "Drivers of Entrepreneurship and Post-entry Performance of Newborn Firms in Developing Countries," The World Bank Research Observer, World Bank, vol. 30(2), pages 277-305.
    18. Berger, Allen N. & Espinosa-Vega, Marco A. & Frame, W. Scott & Miller, Nathan H., 2011. "Why do borrowers pledge collateral? New empirical evidence on the role of asymmetric information," Journal of Financial Intermediation, Elsevier, vol. 20(1), pages 55-70, January.
    19. Clemens, Christiane & Heinemann, Maik, 2010. "On entrepreneurial risk-taking and the macroeconomic effects of financial constraints," Journal of Economic Dynamics and Control, Elsevier, vol. 34(9), pages 1610-1626, September.
    20. Andrés Rodríguez‐Pose & Roberto Ganau & Kristina Maslauskaite & Monica Brezzi, 2021. "Credit constraints, labor productivity, and the role of regional institutions: Evidence from manufacturing firms in Europe," Journal of Regional Science, Wiley Blackwell, vol. 61(2), pages 299-328, March.

    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:jsusta:v:15:y:2023:i:11:p:8704-:d:1157744. 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.