Impact of Development of Digital Economy on Narrowing Urban-rural Income Gap:Mechanism and Effect
Narrowing the income gap between urban and rural areas is an important part of China's solid promotion of common prosperity.Based on the perspective of agricultural income increase and non-farm income increase,the impact of digital economy on urban-rural income gap by using panel data from 278 cities at and above the prefecture level in China was empirically examined from 2011-2022.The study found that the development of the digital economy affected the urban-rural income gap in an"inverted U-shaped"trend,and China had crossed the"inverted U-shaped"inflection point,and the dividends of the digital economy narrowing the urban-rural income gap had emerged.From the regional perspective,compared with the central and western regions,the development of the digital economy had a significant effect on the urban-rural income gap in the eastern region.Further research found that increasing agricultural income and non-farm income was an important way for the digital economy to affect the income gap between urban and rural areas,and the construction of network infrastructure had a moderating effect on the development of inclusive finance in rural areas.Therefore,consolidating and improving the construction of digital infrastructure,improving the ability of digital information cognition and application,and in-depth promotion of rural inclusive financial technology were important means for the digital economy to empower and narrow the income gap between urban and rural areas.
digital economyurban-rural income gapincome-increasing effectnetwork infrastructure