Can Public Data Elements Increase Firms’ Labor Income Share?——A Quasi-Natural Experiment Based on the Establishment of Open Platforms for Public Data

As a new type of production factor, data elements are regarded as indispensable for firms to achieve high-quality development in the digital age, as they can exert the multiplier effect when integrating with other production factors. This paper takes the open platforms for public data that have been launched in Chinese cities successively since 2012 as a policy shock, and examines the impact of incremental supply of public data elements on firms’ labor income shares. Specifically, our empirical research uses a staggered Difference-in-Differences (DID) model and the panel data of Chinese A-share listed companies from 2007 to 2022. The results show that the establishment of open platforms for public data increases the labor income share of local firms. This effect is primarily achieved through two pathways: advancing business digitalization and stimulating corporate innovation. Further analysis reveals three key findings. (1) Open platforms for public data with higher quality have a more significant positive impact on firms’ labor income share. (2) Firms with low technological levels experience a more significant increase in labor income share due to open platforms for public data. (3) The impact of open platforms for public data is less significant in areas with restricted labor resources or mobility.