The impact of digital economy on urban-rural income gap under government intervention
Coordinated development is an important embodiment of high-quality development. The urban-rural income distribution is the main aspect of coordinated development. Reinterpreting the income distribution effect of the development of digital economy from the perspective of government intervention is of...
Saved in:
| Main Authors: | , , , , |
|---|---|
| Format: | Article |
| Language: | English |
| Published: |
Science Press (China Science Publishing & Media Ltd.)
2023-05-01
|
| Series: | Shenzhen Daxue xuebao. Ligong ban |
| Subjects: | |
| Online Access: | https://journal.szu.edu.cn/en/#/digest?ArticleID=2516 |
| Tags: |
Add Tag
No Tags, Be the first to tag this record!
|
| Summary: | Coordinated development is an important embodiment of high-quality development. The urban-rural income distribution is the main aspect of coordinated development. Reinterpreting the income distribution effect of the development of digital economy from the perspective of government intervention is of great practical significance to better play the role of 'promising government' and promote common prosperity. In order to explore the impact of digital economy development on China's urban-rural income gap, and the important role of government intervention in the income distribution effect under the digital economy era, based on the theoretical framework of income distribution including the Cobb-Douglas production function and the overlapping generation (OLG) model, the logical relationship between the digital economy, government intervention and the urban-rural income gap is examined in this study. The theoretical results show that effective government intervention can promote the effect of digital economy in improving urban-rural income distribution. Ordinary least squares (OLS) and instrumental variables-two stage least squares (IV-2SLS) estimation methods are used to empirically test the above mentioned-theoretical inferences from the empirical level based on the mediation effect model. The empirical results show that the higher the level of digital economy is, the greater the marginal reduction of urban-rural income gap will be. Heterogeneity analysis shows that the digital economy has significantly narrowed the urban-rural income gap between the eastern and western regions, as well as after 2013, and has less obvious effect on the reduction of urban-rural income gap in the central region and before 2013. The research results show that in the current or future period, we should vigorously improve the digital economy level in rural areas by the visible hand of government, and take practical measures to realize the combination of promising government and efficient market, so that the digital economy can give full play to its inclusiveness of converging urban-rural income gap, and further promote common prosperity. |
|---|---|
| ISSN: | 1000-2618 |