Research on the Effect of Digital Economy Development on Local Financial Pressure

Abstract

The vigorous development of the digital economy provides a new research perspective for alleviating local financial pressure. Based on the provincial panel data from 2013 to 2020, the mediating effect model and threshold regression model were used to explore the effect and mechanism of the digital economy on local fiscal pressure. The research shows that the digital economy has a significant alleviating effect on local financial pressure by increasing fiscal revenue, and this alleviating effect has a threshold effect on entrepreneurial activity. From the perspective of dimension, the alleviating effect of the digital economy development environment on local financial pressure is better than that of digital industrialization and industrial digitization. From a regional perspective, the digital economy has the most apparent impact on the western region. In addition, the quantile regression results show that with the increase in financial pressure, the easing effect of the digital economy shows an inverted U-shaped change. Therefore, in order to effectively alleviate the financial pressure on local governments, China should continue to promote the development of the digital economy, take multiple measures to increase entrepreneurial activity, and encourage various regions to implement differentiated digital economy development strategies according to local conditions.

Research on the Impact of Digital Economy on Environmental Pollution Management – A Quasi-Natural Experiment from the “Broadband China” Pilot Policy

“…On another front, scholars have explored the implications of the digital economy, with the majority of studies analyzing the economic welfare derived from its development. These analyses often focus on enhancing economic efficiency [8], alleviating market pressure [9], and promoting industrial upgrading [10]. Fewer studies have delved into the realm of environmental pollution control, which falls under the domain of social welfare.…”

“…The ascent of the digital economy not only positively impacts economic development but, more crucially, offers a novel opportunity to mitigate environmental pollution. By leveraging digital technology and innovative approaches, the environmental situation can be effectively ameliorated, presenting fresh ideas to achieve the goal of sustainable development [9]. Second, this study delves into the mechanics of the Broadband China pilot policy by theoretically and empirically exploring the relationship between the policy and the management of environmental pollution.…”