Q1: "As inter-city traffic is more convenient, it is healthier to regional economic growth." Can you give an example to support this statement?
A1: For example, if there are more high-speed railway routes between cities, travelers would visit nearby cities more conveniently and more quickly. It can save the time cost of travelling and the time they saved could have alternative productive uses, like production of goods, which could boost economic growth.
Q2: Does geographical distance between cities affect the extent of spillover effect?
A2: If we assume the central cities in Guangdong province are Shenzhen and Guangzhou, we would see economic connections between Shenzhen and Dongguan, Guangzhou and Foshan are strong as their neighboring cities. So, the spillover effects are stronger. However, we could see economic connections of central cities with Shantou and Maoming, cities which are far away from central cities, are weak. The spillover effects between them are thus weaker. In reality, Dongguan and Foshan are indeed strong in economic power in Guangdong as their connections with central cities are strong.
Q3: In the research, it is found that there are positive spillovers between cities, which helps promoting regional economic development. Is it possible that negative spillovers exist?
A3: Yes, it is possible. Use Shenzhen as an example, since there are lots of enterprises setting up their branches and headquarters in Shenzhen, it provides massive and quality job opportunity for new graduates. So, it attracts a great number of fresh graduates from other cities, especially cities in the same province, to work in Shenzhen. Therefore, the outflow of talent becomes a problem for the nearby cities and negatively affects their future long-term economic growth.