EDUCATIONAL CONSUMPTION AND REGIONAL COMMUNICATION INFRASTRUCTURE: AN ANALYSIS USING CHINA’S PROVINCIAL PANEL DATA
DOI:
https://doi.org/10.55197/qjssh.v7si1.1188Keywords:
communication infrastructure, education consumer price index, panel data regression, Driscoll–Kraay Standard Errors, regional heterogeneityAbstract
This paper examines how regional communication infrastructure affects education price dynamics across China. Using an annual panel of six provinces-Jiangsu and Shandong (east), Henan and Hubei (central), and Sichuan and Gansu (west) from 1993 to 2023, the study ensures consistent series for the Education Consumer Price Index (EduCPI) and its subcomponents: education supplies, education services, and culture & entertainment. Communication infrastructure is measured as the logarithm of cultural, educational, broadcasting, and postal institutions (ln(Media)). Two-way fixed-effects regressions with Driscoll–Kraay standard errors control for GDP per capita, disposable income, and government education spending. Results show a small but significant positive effect of ln(Media) on overall EduCPI growth. Yet, the effects vary across categories: infrastructure expansion tends to lower prices for education supplies and culture & entertainment, but slightly raises service costs. Regional heterogeneity is evident-price-containment is stronger in eastern and central provinces, while short-term upward pressure appears in less developed western areas. Overall, communication infrastructure can both moderate and amplify education prices depending on consumption type and regional capacity. Policy should therefore combine infrastructure investment with supply-side improvements in lagging regions and network optimization in advanced ones.
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