Moving towards Environmental Sustainability: Can Digital Economy Reduce Environmental Degradation in China?

Shunbin Zhong, Huafu Shen, Ziheng Niu (), Yang Yu, Lin Pan, Yaojun Fan and Atif Jahanger
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Shunbin Zhong: School of Business, Minnan Normal University, Zhangzhou 363000, China
Huafu Shen: School of Business, Minnan Normal University, Zhangzhou 363000, China
Ziheng Niu: Academy of Strategies for Innovation and Development, Anhui University, Hefei 230039, China
Yang Yu: School of Economics, Hainan University, Haikou 570228, China
Lin Pan: College of Oceanic and Atmospheric Sciences, Ocean University of China, Qingdao 266100, China
Yaojun Fan: Chinese International College, Dhurakij Pundit University, Bangkok 10210, Thailand

IJERPH, 2022, vol. 19, issue 23, 1-23

Abstract: In the context of environmental sustainability and accelerated digital technology development, China attaches great importance to the prominent role of digital economy in addressing environmental degradation. Utilizing Chinese provincial panel data from 2011 to 2019, this study investigates whether the digital economy can improve China’s environmental sustainability proxy by reducing carbon emission intensity. Based on the fixed effects model, the findings reveal that the digital economy has a significant negative effect on carbon emission intensity and the conclusion remains robust after conducting several robustness checks. However, this impact shows regional heterogeneity, which is more effective in resource-based eastern regions and the Belt and Road provinces. Moreover, mediating effect analyses indicate that the transmission mechanisms are energy consumption structure, total factor energy productivity, and green technology innovation. Furthermore, the results based on the spatial Durbin model (SDM) demonstrate that digital economy development has a significant spatial spillover effect. Finally, on the basis of results analysis and discussion, policy recommendations are provided for achieving environmental sustainability.

Keywords: digital economy; environmental sustainability; carbon emission intensity; regional heterogeneity; mediating effect; spatial spillover effect (search for similar items in EconPapers)
JEL-codes: I I1 I3 Q Q5 (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

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