IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v14y2022i24p16987-d1007282.html
   My bibliography  Save this article

How Does Digital Economy Affect Rural Revitalization? The Mediating Effect of Industrial Upgrading

Author

Listed:
  • Tao Cen

    (College of International Economics & Trade, Ningbo University of Finance & Economics, Ningbo 315175, China
    Ningbo Key Research Base for Philosophy and Social Studies “Regional Open Cooperation and Free Trade Zone Research Base”, Ningbo 315175, China)

  • Shuping Lin

    (College of International Economics & Trade, Ningbo University of Finance & Economics, Ningbo 315175, China
    Ningbo Key Research Base for Philosophy and Social Studies “Regional Open Cooperation and Free Trade Zone Research Base”, Ningbo 315175, China)

  • Qiaoyun Wu

    (College of Wealth Management, Ningbo University of Finance & Economics, Ningbo 315175, China)

Abstract

Since the reform and opening up in 1978, China’s economy has grown significantly, but rural development still lags. China has implemented a rural revitalization strategy to reduce the gap between urban and rural areas. Meanwhile, the digital economy has gradually become a new economic growth engine for China. With the digitalization of rural industries, the digital economy gradually integrated into rural development and revitalization. However, how the digital economy impacts rural revitalization remains unclear. Based on the entropy method, previous studies measured rural revitalization levels from the perspectives of economy, civilization, and ecological environment. In this paper, using panel data from 11 prefecture-level cities in Zhejiang Province from 2011 to 2019, we use the entropy method to quantify the development level of the digital economy, industrial upgrading, and rural revitalization. Then, we investigate the relationship among them using fixed effect regression. The empirical results show that the digital economy obviously promotes rural revitalization. The mediation effect test shows that industrial upgrading plays a mediating mechanism between the digital economy and rural revitalization. In addition, heterogeneity analysis reveals that the promotion effect of the digital economy on rural development in southwestern Zhejiang is stronger than that of northeastern Zhejiang. The results imply that government should strengthen digital infrastructure construction in rural areas to promote rural revitalization. Moreover, rural areas with different economic development levels should implement a differentiated rural revitalization strategy.

Suggested Citation

  • Tao Cen & Shuping Lin & Qiaoyun Wu, 2022. "How Does Digital Economy Affect Rural Revitalization? The Mediating Effect of Industrial Upgrading," Sustainability, MDPI, vol. 14(24), pages 1-13, December.
    • Handle: RePEc:gam:jsusta:v:14:y:2022:i:24:p:16987-:d:1007282
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/14/24/16987/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/14/24/16987/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Caiyun Guo & Yujing Zhang & Zhiqiang Liu & Na Li, 2022. "A Coupling Mechanism and the Measurement of Science and Technology Innovation and Rural Revitalization Systems," Sustainability, MDPI, vol. 14(16), pages 1-19, August.
    2. Carla Fernandes & Maria Rosa Borges & Jorge Caiado, 2021. "The contribution of digital financial services to financial inclusion in Mozambique: an ARDL model approach," Applied Economics, Taylor & Francis Journals, vol. 53(3), pages 400-409, January.
    3. Yuexu Zhao & Ruyue Li, 2022. "Coupling and Coordination Analysis of Digital Rural Construction from the Perspective of Rural Revitalization: A Case Study from Zhejiang Province of China," Sustainability, MDPI, vol. 14(6), pages 1-14, March.
    4. Yi, Ming & Liu, Yafen & Sheng, Mingyue Selena & Wen, Le, 2022. "Effects of digital economy on carbon emission reduction: New evidence from China," Energy Policy, Elsevier, vol. 171(C).
    5. Cevik, Emrah Ismail & Gunay, Samet & Zafar, Muhammad Wasif & Destek, Mehmet Akif & Bugan, Mehmet Fatih & Tuna, Fatih, 2022. "The impact of digital finance on the natural resource market: Evidence from DeFi, oil, and gold," Resources Policy, Elsevier, vol. 79(C).
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Jinqian Deng & Huiling Chi & Tiantian Zhang, 2024. "Effects of Entrepreneurial Activities on Rural Revitalization: Based on Dissipative Structure Theory," Agriculture, MDPI, vol. 14(9), pages 1-22, August.
    2. Ying Wang & Daoliang Ye, 2024. "Enhancing Rural Revitalization in China through Digital Economic Transformation and Green Entrepreneurship," Sustainability, MDPI, vol. 16(10), pages 1-18, May.
    3. Xinshu Gong & Liyu Zhao, 2024. "Does Digital Inclusive Finance Help County Level Governance in the Five Provinces of Northwest China, from the Perspective of Economic Resilience?," Sustainability, MDPI, vol. 16(10), pages 1-26, May.
    4. Qiong Wang & Yihan Wei, 2023. "Research on the Influence of Digital Economy on Technological Innovation: Evidence from Manufacturing Enterprises in China," Sustainability, MDPI, vol. 15(6), pages 1-23, March.
    5. Xiaodong Qu & Yuxi Zhang & Zhenming Li, 2024. "Is China’s Rural Revitalization Good Enough? Evidence from Spatial Agglomeration and Cluster Analysis," Sustainability, MDPI, vol. 16(11), pages 1-31, May.
    6. Wang, Jing, 2023. "Digital inclusive finance and rural revitalization," Finance Research Letters, Elsevier, vol. 57(C).
    7. Hongbi Peng & Feng Yang & Ou Yue, 2024. "How Rural Industry Revitalization Affects Farmers’ Incomes in China," Sustainability, MDPI, vol. 16(21), pages 1-19, October.
    8. Sun, Jingjing & Zhai, Chenchen & Dong, Xiaoqi & Li, Chengming & Wang, Zeyu & Li, Dandan & Sun, Yongping, 2023. "How does digital infrastructure break the resource curse of cities? Evidence from a quasi-natural experiment in China," Resources Policy, Elsevier, vol. 86(PA).
    9. Wanmei Hu & Zaike Gu & Kangning Xiong & Yaoru Lu & Zuju Li & Min Zhang & Liheng You & Huan Ruan, 2024. "A Review of Value Realization and Rural Revitalization of Eco-Products: Insights for Agroforestry Ecosystem in Karst Desertification Control," Land, MDPI, vol. 13(11), pages 1-25, November.
    10. Saige Wang & Chenchen Zhai & Yunxiao Zhang, 2024. "Evaluating the Impact of Urban Digital Infrastructure on Land Use Efficiency Based on 279 Cities in China," Land, MDPI, vol. 13(4), pages 1-24, March.
    11. Linqing Fang & Zhihao Liu & Caiyu Jin, 2023. "How Does the Integration of Cultural Tourism Industry Affect Rural Revitalization? The Mediating Effect of New Urbanization," Sustainability, MDPI, vol. 15(14), pages 1-22, July.
    12. Yuan Wang & Yifang Huang & Yihua Zhang, 2023. "Coupling and Coordinated Development of Digital Economy and Rural Revitalisation and Analysis of Influencing Factors," Sustainability, MDPI, vol. 15(4), pages 1-23, February.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Yuan Wang & Yifang Huang & Yihua Zhang, 2023. "Coupling and Coordinated Development of Digital Economy and Rural Revitalisation and Analysis of Influencing Factors," Sustainability, MDPI, vol. 15(4), pages 1-23, February.
    2. Chen, Zeyu & Tang, Yuhong & Shen, Hebin & Liu, Jiali & Hu, Zheng, 2024. "Threshold effects of Government digital development and land resource disparity on Urban carbon efficiency in China," Resources Policy, Elsevier, vol. 94(C).
    3. Ran, Qiying & Yang, Xiaodong & Yan, Hongchuan & Xu, Yang & Cao, Jianhong, 2023. "Natural resource consumption and industrial green transformation: Does the digital economy matter?," Resources Policy, Elsevier, vol. 81(C).
    4. Xi Liu & Yugang He & Renhong Wu, 2024. "Revolutionizing Environmental Sustainability: The Role of Renewable Energy Consumption and Environmental Technologies in OECD Countries," Energies, MDPI, vol. 17(2), pages 1-21, January.
    5. Senhua Huang & Lingming Chen, 2023. "The Impact of the Digital Economy on the Urban Total-Factor Energy Efficiency: Evidence from 275 Cities in China," Sustainability, MDPI, vol. 15(4), pages 1-20, February.
    6. Qiangyi Li & Jiexiao Ge & Mingyu Huang & Xiaoyu Wu & Houbao Fan, 2024. "Uncovering the Triple Synergy of New-Type Urbanization, Greening and Digitalization in China," Land, MDPI, vol. 13(7), pages 1-24, July.
    7. Zhipeng Yu & Yi Liu & Taihua Yan & Ming Zhang, 2024. "Carbon emission efficiency in the age of digital economy: New insights on green technology progress and industrial structure distortion," Business Strategy and the Environment, Wiley Blackwell, vol. 33(5), pages 4039-4057, July.
    8. Khalil Nimer & Muath Abdelqader & Cemil Kuzey & Ali Uyar, 2024. "Emission targeting and carbon emissions: The moderating effect of female directors," Business Strategy and the Environment, Wiley Blackwell, vol. 33(4), pages 3480-3504, May.
    9. Zhenhua Xu & Fuyi Ci, 2023. "Spatial-Temporal Characteristics and Driving Factors of Coupling Coordination between the Digital Economy and Low-Carbon Development in the Yellow River Basin," Sustainability, MDPI, vol. 15(3), pages 1-23, February.
    10. Nan Li & Beibei Shi & Rong Kang, 2023. "Analysis of the Coupling Effect and Space-Time Difference between China’s Digital Economy Development and Carbon Emissions Reduction," IJERPH, MDPI, vol. 20(1), pages 1-25, January.
    11. Lei, Heng & Xue, Minggao & Ye, Jing, 2024. "The nexus between ReFi, carbon, fossil energy, and clean energy assets: Quantile time–frequency connectedness and portfolio implications," Energy Economics, Elsevier, vol. 132(C).
    12. Qiang Wang & Yuanfan Li & Rongrong Li, 2024. "Rethinking the environmental Kuznets curve hypothesis across 214 countries: the impacts of 12 economic, institutional, technological, resource, and social factors," Palgrave Communications, Palgrave Macmillan, vol. 11(1), pages 1-19, December.
    13. Lyu Jun & Shuang Lu & Xiang Li & Zeng Li & Chenglong Cao, 2023. "Spatio-Temporal Characteristics of Industrial Carbon Emission Efficiency and Their Impacts from Digital Economy at Chinese Prefecture-Level Cities," Sustainability, MDPI, vol. 15(18), pages 1-17, September.
    14. Huang, Chenchen & Lin, Boqiang, 2024. "Digital economy solutions towards carbon neutrality: The critical role of energy efficiency and energy structure transformation," Energy, Elsevier, vol. 306(C).
    15. Anhang Chen & Huiqin Zhang & Yuxiang Zhang & Junwei Zhao, 2024. "Manufacturers’ digital transformation under carbon cap-and-trade policy: investment strategy and environmental impact," Palgrave Communications, Palgrave Macmillan, vol. 11(1), pages 1-14, December.
    16. Wang, Weilong & Wang, Jianlong & Wu, Haitao, 2024. "The impact of energy-consuming rights trading on green total factor productivity in the context of digital economy: Evidence from listed firms in China," Energy Economics, Elsevier, vol. 131(C).
    17. Yu Zhang & Xiaomeng Liu & Jiaoping Yang, 2024. "Digital Economy, Green Dual Innovation and Carbon Emissions," Sustainability, MDPI, vol. 16(17), pages 1-26, August.
    18. Zheng, Li & Yuan, Ling & Khan, Zeeshan & Badeeb, Ramez Abubakr & Zhang, Leilei, 2023. "How G-7 countries are paving the way for net-zero emissions through energy efficient ecosystem?," Energy Economics, Elsevier, vol. 117(C).
    19. Khan, Yasir & Hassan, Taimoor & Guiqin, Huang & Nabi, Ghulam, 2023. "Analyzing the impact of natural resources and rule of law on sustainable environment: A proposed policy framework for BRICS economies," Resources Policy, Elsevier, vol. 86(PA).
    20. Zhang, Shaobin & Shi, Baofeng & Ji, Hao, 2023. "How to decouple income growth from household carbon emissions: A perspective based on urban-rural differences in China," Energy Economics, Elsevier, vol. 125(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:14:y:2022:i:24:p:16987-:d:1007282. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.