Internet Penetration and Regional Financial Development in China: Empirical Evidence Based on Chinese Provincial Panel Data

Table 3

Investment in Internet infrastructure and regional financial development level. Panel A: financial industry/GDP share and capital investment in Internet infrastructure. Panel B: per capital financial output and capital investment in Internet infrastructure.

	Mixed OLS model		Regional fixed effect model
	1	2	3	4
Financial industry/GDP
Intercept	‒0.1746	‒0.0846	‒0.1231	‒0.1587
	0.0427	0.0366	0.0426	0.0327
Infrastructure capital stock	‒0.0052	‒0.0026	0.0021	0.0021
	0.0011	0.001	0.0012	0.0012
Education level (average)	0.0206	—	0.009	—
	0.0069		0.0057
Education level (above college)	—	0.0243	—	0.002
		0.0031		0.0022
Per capital GDP	‒0.0411	‒0.0439	‒0.0337	‒0.0338
	0.0059	0.0052	0.0061	0.0061
Resident per capital disposable income	0.0144	0.0242	0.0354	0.0344
	0.0099	0.0079	0.0107	0.0107
Household consumption level	0.0689	0.0525	0.0212	0.023
	0.0091	0.0084	0.0095	0.0095
R^2	0.6407	0.7077	0.9568	0.9564
Observations	270	270	270	270
Per capital financial output
Intercept	‒0.9098	0.6033	‒9.3739	‒8.8804
	1.6503	1.442	2.0835	1.5919
Infrastructure capital stock	‒0.3889	‒0.2675	0.0973	0.0972
	0.0431	0.0413	0.0567	0.0567
Education level (average)	1.6017	—	0.0142
	0.2669		0.279
Education level (above college)	—	1.1114	—	0.0593
		0.1206		0.109
Per capital GDP	‒1.0909	‒0.9737	‒1.256	‒1.2413
	0.2282	0.1952	0.2973	0.2978
Resident per capital disposable income	0.6008	0.4868	2.8266	2.8169
	0.3824	0.3127	0.5228	0.5222
Household consumption level	1.8868	1.4386	‒0.6482	‒0.6824
	0.3521	0.3292	0.466	0.4609
R^2	0.6546	0.7090	0.9336	0.9337
Observations	270	270	270	270

Note. (1) ^∗, ^∗∗, and ^∗∗∗ represent significance at the levels of 10%, 5%, and 1%, respectively; (2) the standard error is presented below the coefficient.