Do the elite university projects promote scientific research competitiveness: Evidence from NSFC grants

This paper contributes to the causal effects of the elite university project on academic productivity, utilizing a comprehensive dataset of research grants from the National Natural Science Foundation of China (NSFC). We use difference-in-differences estimation to identify the treatment effect of being listed in the 211 Project and find evidence of a substantial improvement in scientific research competitiveness in these universities. Mechanism analyses illuminate the underlying reasons driving this effect, encompassing increased human capital accumulation and government funding, and heightened academic reputation. Our results empirically validate the economic logic behind China’s government-led effort to promote the development of elite universities.