Digital Innovation and Urban Resilience: Lessons from the Yangtze River Delta Region

In the era of the digital revolution, the ascendancy of the digital economy has emerged as a pivotal catalyst for global economic transformation. This paper delves into the transformative potential of the digital economy in reshaping regional economic dynamics, transcending geographical constraints, and fortifying inter-city economic ties. By harnessing the prowess of the digital economy, industries can expedite digitalization and intelligent transformation, augmenting stability and competitiveness across industrial and supply chains. This study focuses on 40 key cities within the Yangtze River Delta, dissecting the intricate interplay between the digital economy and urban economic resilience. The empirical analysis employs panel data, fixed effect models, and mediation effect models, complemented by a spatial measurement model to unravel the spatial spillover effects of the digital economy on urban economic toughness. The findings underscore the substantive positive impact of digital economy development on urban economic resilience, across three pivotal dimensions. Additionally, spatial econometric testing affirms the substantial influence radiating to surrounding cities. To bolster urban economic resilience, it is imperative to bolster the Internet economy, foster innovation in economic structures, and seamlessly integrate the digital and real economies. This synergistic approach will lower entrepreneurship barriers, invigorate resident entrepreneurship, and fortify the city’s economic resilience. Moreover, strategic integration of the digital economy into daily life, coupled with advancements in social security and infrastructure, will amplify the intermediary role of the digital economy, further augmenting urban economic robustness. This research advances a comprehensive framework for leveraging the transformative potential of the digital economy, paving the way for a resilient and agile urban economic landscape in the Yangtze River Delta region.