This paper employs a hybrid methodology that combines case study and econometric research to examine the impact of the Internet on domestic market integration. There is not much research on this issue in the literatur...This paper employs a hybrid methodology that combines case study and econometric research to examine the impact of the Internet on domestic market integration. There is not much research on this issue in the literature. From the multi-case analysis, this paper firstly obtains two main indications which are clear yet contrary to each other about how the Internet influences the market integration process. To be specific, although the Internet has both the ability and the potential to promote market integration, it is not always effective and could even harm this process due to several constraints. Using a provincial-level panel dataset from 2007 to 2013 in China, this paper empirically investigates whether the Internet plays a positive role in the market integration process. Contradictory to common expectations, we do not find any empirical evidence that the Intemet accelerates the integration of domestic markets. Thus, when compared with taking advantage of Internet tools, manmade obstacles to market integration that exist in current trading systems and business models deserve more attention.展开更多
文摘This paper employs a hybrid methodology that combines case study and econometric research to examine the impact of the Internet on domestic market integration. There is not much research on this issue in the literature. From the multi-case analysis, this paper firstly obtains two main indications which are clear yet contrary to each other about how the Internet influences the market integration process. To be specific, although the Internet has both the ability and the potential to promote market integration, it is not always effective and could even harm this process due to several constraints. Using a provincial-level panel dataset from 2007 to 2013 in China, this paper empirically investigates whether the Internet plays a positive role in the market integration process. Contradictory to common expectations, we do not find any empirical evidence that the Intemet accelerates the integration of domestic markets. Thus, when compared with taking advantage of Internet tools, manmade obstacles to market integration that exist in current trading systems and business models deserve more attention.
