The impacts of the national innovative city pilot policy on employment––a quasi-natural experiment from China

The impacts of the national innovative city pilot policy on employment––a quasi-natural experiment from China | Research Square window.SnipcartSettings = { analytics: { enabled: false } }; (function() { var accessVector = localStorage.getItem('access_vector') || ''; window.dataLayer = window.dataLayer || []; if (accessVector) { window.dataLayer.push({ user: { profile: { profileInfo: { snid: accessVector } } } }); } })(); (function(w,d,s,l,i){w[l]=w[l]||[];w[l].push({'gtm.start':new Date().getTime(),event:'gtm.js'});var f=d.getElementsByTagName(s)[0],j=d.createElement(s),dl=l!='dataLayer'?'&l='+l:'';j.async=true;j.src='https://www.googletagmanager.com/gtm.js?id='+i+dl;f.parentNode.insertBefore(j,f);})(window,document,'script','dataLayer','GTM-K279D39R'); Browse Preprints In Review Journals COVID-19 Preprints AJE Video Bytes Research Tools Research Promotion AJE Professional Editing AJE Rubriq About Preprint Platform In Review Editorial Policies Our Team Advisory Board Help Center Sign In Submit a Preprint Cite Share Download PDF Article The impacts of the national innovative city pilot policy on employment––a quasi-natural experiment from China Yuyuan Wen, Zilong Yu, Yiwen Sun This is a preprint; it has not been peer reviewed by a journal. https://doi.org/ 10.21203/rs.3.rs-8016086/v1 This work is licensed under a CC BY 4.0 License Status: Posted Version 1 posted You are reading this latest preprint version Abstract The National Innovative City Pilot Policy (NICP) is a crucial step in China’s transition to an innovation-oriented nation, profoundly influencing the country’s social development and significantly impacting employment. This paper treats the implementation of the NICP as a "quasi-natural experiment". Based on an analysis of the policy’s mechanism on employment impact, it evaluates the policy’s effect on employment using microdata from publicly listed companies from 2006 to 2019, employing a staggered difference-in-differences model. The findings suggest that the NICP has generally increased employment levels in enterprises. The policy promotes employment through three key mechanisms: talent clustering, alleviating financing constraints, and fostering technological innovation. The policy’s positive effects on employment are particularly evident in the productive service sector and non-high-tech enterprises. Furthermore, the policy has had a more pronounced positive impact on the employment of medium and high-skilled workers, particularly high-skilled workers, relative to low-skilled workers. This paper provides important policy insights for stabilizing and promoting resident employment in the context of achieving innovation-driven development. Business and commerce/Business and management Social science/Business and management Business and commerce/Economics Social science/Economics Earth and environmental sciences/Environmental social sciences The National Innovative City Pilot Policy Labor demand Talent clustering Financing constraints Technological innovation Full Text Additional Declarations No competing interests reported. Cite Share Download PDF Status: Posted Version 1 posted You are reading this latest preprint version Research Square lets you share your work early, gain feedback from the community, and start making changes to your manuscript prior to peer review in a journal. As a division of Research Square Company, we’re committed to making research communication faster, fairer, and more useful. We do this by developing innovative software and high quality services for the global research community. Our growing team is made up of researchers and industry professionals working together to solve the most critical problems facing scientific publishing. Also discoverable on Platform About Our Team In Review Editorial Policies Advisory Board Help Center Resources Author Services Accessibility API Access RSS feed Manage Cookie Preferences © Research Square 2026 | ISSN 2693-5015 (online) Privacy Policy Terms of Service Do Not Sell My Personal Information {"props":{"pageProps":{"initialData":{"identity":"rs-8016086","acceptedTermsAndConditions":true,"allowDirectSubmit":true,"archivedVersions":[],"articleType":"Article","associatedPublications":[],"authors":[{"id":554753410,"identity":"35e6691b-8973-4f16-b8d8-85cbaf8c49fe","order_by":0,"name":"Yuyuan Wen","email":"","orcid":"","institution":"Renmin University of China","correspondingAuthor":false,"prefix":"","firstName":"Yuyuan","middleName":"","lastName":"Wen","suffix":""},{"id":554753412,"identity":"5d7630d9-42ca-403d-876a-7f07467a4540","order_by":1,"name":"Zilong Yu","email":"","orcid":"","institution":"Renmin University of 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China","fulltext":[],"fulltextSource":"","fullText":"","funders":[],"hasAdminPriorityOnWorkflow":false,"hasManuscriptDocX":false,"hasOptedInToPreprint":true,"hasPassedJournalQc":"","hasAnyPriority":false,"hideJournal":true,"highlight":"","institution":"","isAcceptedByJournal":false,"isAuthorSuppliedPdf":true,"isDeskRejected":"","isHiddenFromSearch":false,"isInQc":false,"isInWorkflow":false,"isPdf":true,"isPdfUpToDate":true,"isWithdrawnOrRetracted":false,"journal":{"display":true,"email":"[email protected]","identity":"researchsquare","isNatureJournal":false,"hasQc":true,"allowDirectSubmit":true,"externalIdentity":"","sideBox":"","snPcode":"","submissionUrl":"/submission","title":"Research Square","twitterHandle":"researchsquare","acdcEnabled":true,"dfaEnabled":false,"editorialSystem":"","reportingPortfolio":"","inReviewEnabled":false,"inReviewRevisionsEnabled":true},"keywords":"The National Innovative City Pilot Policy, Labor demand, Talent clustering, Financing constraints, 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This paper treats the implementation of the NICP as a \"quasi-natural experiment\". Based on an analysis of the policy\u0026rsquo;s mechanism on employment impact, it evaluates the policy\u0026rsquo;s effect on employment using microdata from publicly listed companies from 2006 to 2019, employing a staggered difference-in-differences model. The findings suggest that the NICP has generally increased employment levels in enterprises. The policy promotes employment through three key mechanisms: talent clustering, alleviating financing constraints, and fostering technological innovation. The policy\u0026rsquo;s positive effects on employment are particularly evident in the productive service sector and non-high-tech enterprises. Furthermore, the policy has had a more pronounced positive impact on the employment of medium and high-skilled workers, particularly high-skilled workers, relative to low-skilled workers. 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