The impact of the old-age digital divide on household financial vulnerability

Abstract

With the aging of society and the development of the digitalization process, people are more and more concerned about the issue of household financial risk, focusing on the digital divide and financial vulnerability. Based on the Probit model, this paper explores the impact of the old-age digital divide on household financial vulnerability and urban-rural differences using the (CFPS) database panel data from 2014-2018, and puts forward corresponding policy recommendations. The study shows that the existence of the old-age digital divide and the deepening of the degree of old-age digital divide increase the probability of household financial vulnerability, in which the reduction of the degree of oldage digital divide has a significant impact on urban households. The Government should address this issue by strengthening digital training for the elderly, improving the level of financial services in rural areas and raising the income level of low-income groups in urban areas, so as to strengthen financial systemic risks and promote sustainable social development and stable economic growth.