How does Digital Consumption Promote Cities to Attract Foreign Capital Inflows?
Digital consumption is an important force to speed up the construction of a new development pattern with domestic circulation as the main body and domestic and international double circulations promoting each other.Based on the panel data of 255 prefecture-level cities in China from 2010 to 2019,this paper takes the national information consumption pilot policy as a quasi-natural experiment,and uses the multi-period difference-in-differences method to examine the impact of digital consumption on urban foreign capital inflows.The study finds that digital consumption significantly promotes cities to attract foreign capital inflows.The mechanism test shows that digital consumption attracts foreign investment inflows through the"consumption-investment"induction mechanism,the information infrastructure empowerment mechanism,and the good business environment magnetic attraction mechanism.Heterogeneity analysis shows that digital consumption has a stronger effect on attracting investment in cities with higher consumption levels and better business environment,but there is no significant difference in the effect of attracting investment between the central,western and eastern regions.Expanded analysis shows that digital consumption attracts more foreign investment in high-tech industries,and has a linkage effect with the free trade zone to promote the further expansion of urban investment.Therefore,it is necessary to vigorously develop digital consumption to provide new impetus for improving the scale and quality of foreign capital utilization and promoting high-quality economic development.
Digital ConsumptionForeign Direct InvestmentConsumption Leads to InvestmentInformation InfrastructureBusiness Environment
NETL
NSTL
万方数据
