Do the High-Tech Industrial Development Zones Foster Urban Innovation? A Case Study of China

China’s high-tech industrial development zones (HIDZs) is a key “place-based” policy targeting national innovation-driven development. Despite the extensive research on HIDZs, it remains unclear whether and to what extent has fostered cities’ innovation output quality. Basing our panel data of Chinese cities from 2001 2019, we employed PSM-DID model examine impact HIDZs their host The empirical results show that: (1) In general, establishment more significant positive effect fostering urban compared its role in promoting However, (2) quality varies across different cities. For with advantageous locations policies, HIDZ plays instrumental innovation, while other conducive increasing innovation. Ultimately, argue that authorities must recognize importance integrated incorporating HIDZs’ into evaluation. It necessary understand have multiple modes due specific local conditions. Hence, differentiated guidance be carried out rather than directly replicating experience developed regions.