Do China State-Level Economic and Technological Development Zones Have a Positive Effect on Regional Total Factor Productivity? A Perspective Based on the Moderating Effect of Transportation Infrastructure

With the deceleration of China’s economic growth, the crude economic model will progressively diminish in its competitive edge, thereby posing challenges for state-level economic and technological development zones (ETDZs) in terms of transitioning their development model and grappling with low levels of total factor productivity (TFP). This study aims to evaluate the TFP of prominent cities in China, examine the influence of the establishment of state-level ETDZs on urban TFP, and investigate the moderating effect of transportation infrastructure on this relationship. The results show that the aggregate TFP of Chinese urban areas declined from 1999 to 2020, a trend linked to structural economic adjustments and persistent underutilization of capital in several regions. The establishment of state-level ETDZs has been found to exert a notable positive influence on regional TFP. The presence of transportation infrastructure plays a moderating role in facilitating state-level ETDZs, thereby enhancing regional TFP. Among various modes of transportation, highways and railways are particularly prominent in this regard. These conclusions provide a theoretical basis and decision-making reference for further unleashing the policy potential of development zones in China.