Horizontal Networks and Economic Performance: Evidence from City Leaders in China

In: Social science quarterly, Band 101, Heft 4, S. 1359-1373

Abstract

ObjectivesWe examine political connections at the horizontal level of local government officials and their impacts on economic growth in China.MethodsWe identify two types of horizontal networks: hometown tie and alumni tie, and analyze the biographic data of the top officials of 256 prefecture‐cities during the period of 1999–2013.ResultsWe find a positive relationship between city leaders' hometown tie and economic growth, measured by either the relative GDP per capita growth rate or the GDP per capita growth rate. Furthermore, we find the positive relationship is more profound in the low market‐open cities. However, we do not find any significant impacts of the alumni tie on economic growth.ConclusionsThe hometown tie improves the city leaders' economic performance.