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Are “Internet+” tactics the key to poverty alleviation in China’s rural ethnic minority areas? Empirical evidence from Sichuan Province

Author

Listed:
  • Xiang Yin

    (Sichuan University)

  • Zhiyi Meng

    (Sichuan University)

  • Xin Yi

    (Sichuan University)

  • Yong Wang

    (Southwest University of Finance and Economics)

  • Xia Hua

    (Southwest University of Finance and Economics)

Abstract

China has made great efforts to alleviate poverty in rural ethnic minority areas and targeted achieving the poverty-alleviation task by the end of 2020. Aba, Ganzi, and Liangshan, three of the poorest ethnic prefectures in Sichuan Province, Southwest China, have all implemented “Internet+” tactics since 2013, which have had the positive effect of increasing family revenues by improving communication infrastructure and encouraging the large-scale use of e-commerce. This paper aims to comprehensively investigate whether “Internet+” tactics play a key role in poverty alleviation in Sichuan’s rural ethnic minority areas and to propose further measures to enhance the efficiency of e-commerce practice. To this end, we conduct an analysis using the framework of classic growth theory and use panel data from 2000 to 2018 to examine the relationship between Communication Infrastructure Investment (CII) and a set of poverty-alleviation indicators, including local GDP growth rate (LGGR), local government revenue (LGR), and per-capita income of residents (PCIR). The results indicate that strengthening CII improves the PCIR and local economic growth, playing a key role in poverty alleviation. However, the stimulation of CII on LGGR and LGR wanes as time passes. More financial and technical actions will be needed to improve the efficiency and quality of current strategies for sustainable development in those areas.

Suggested Citation

  • Xiang Yin & Zhiyi Meng & Xin Yi & Yong Wang & Xia Hua, 2021. "Are “Internet+” tactics the key to poverty alleviation in China’s rural ethnic minority areas? Empirical evidence from Sichuan Province," Financial Innovation, Springer;Southwestern University of Finance and Economics, vol. 7(1), pages 1-19, December.
    • Handle: RePEc:spr:fininn:v:7:y:2021:i:1:d:10.1186_s40854-021-00236-2
    DOI: 10.1186/s40854-021-00236-2
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