In response to the COVID-19 outbreak, precautionary measures were swiftly adopted. While the early pandemic effects were studied extensively, little is known about long-term impacts on vulnerable groups like the elderly. Researchers in Japan analyzed healthcare use and socioeconomic disparities among older adults during the prolonged pandemic. Their findings reveal both resilience and inequality—offering crucial insights into how healthcare systems can adapt to maintain access for aging populations during extended public health emergencies.

Abstract

Purpose – This paper explores the linkage of digital infrastructure to the cost of debt.

Design/methodology/approach – This study uses the implementation of the “Broadband China” policy that improves digital infrastructure as an exogenous shock and exploits the difference-in-differences method (DID).

Findings – Empirical analyses show that digital infrastructure leads to increased firms’ borrowing costs, which is robust to several robustness checks. In addition, we find that this unfavourable effect can be attributed to intensified market competition led by digital infrastructure construction. Cross-sectional analysis shows that this effect is greater for non-SOEs and smaller firms. Finally, we offer additional evidence of the unfavourable effect by showing that digital infrastructure construction leads to decreased fundamentals.

Originality/value – Our paper unveils how digital infrastructure construction affects firms’ business strategy in using private debts and extends the determinants of firms’ borrowing costs.