The telegraph and modern banking development, 1881-1936

• 成果类型: Article
• 署名作者: Lin, Chen; Ma, Chicheng; Sun, Yuchen; Xu, Yuchen
• 署名单位: University of Hong Kong; University of International Business & Economics; Peking University; Peking University Shenzhen Graduate School (PKU Shenzhen)
• 刊物名称: JOURNAL OF FINANCIAL ECONOMICS
• ISSN/ISSBN: 0304-405X
• DOI: 10.1016/j.jfineco.2021.04.011
• 发表日期: 2021
• 页码: 730-749
• 关键词: Information technology; telegraph; BANK; finance; Modern China

摘要

The telegraph was introduced to China in the late 19th century, a time when China also saw the rise of modern banks. Based on this historical context, this paper documents the importance of information technology in banking development. We construct a data set on the distributions of telegraph stations and banks across 287 prefectures between 1881 and 1936. The results show that the telegraph significantly expanded banks' branch networks in terms of both number and geographic scope. The effect of the telegraph remains robust when we instrument it using proximity to the early military telegraph trunk. (c) 2021 Elsevier B.V. All rights reserved.