Two Sides of a Coin: Digital Economy and the Supply of Basic Public Services

Jinfang Tian (), Yunjing Wang () and Siyang Sun
Additional contact information
Jinfang Tian: Shandong University of Finance and Economics
Yunjing Wang: Shandong University of Finance and Economics
Siyang Sun: Shandong University of Finance and Economics

Journal of the Knowledge Economy, 2024, vol. 15, issue 4, No 52, 16943-16968

Abstract: Abstract With the development of a new generation of IT, digital economy bears a far-reaching impact on governmental behavior and effect of governing. There are two main research purposes of this paper: First, it aims to study the relationship between the digital economy and the supply of basic public services. The second purpose is to clarify the transmission mechanism through which the digital economy affects the supply of basic public services. This paper gives an examination of the association of digital economy with the supply of basic public services based on the panel data collected from 287 prefecture-level cities across China from 2011 to 2021 and by utilizing bidirectional fixed effect model. The study delivers findings as follows: There is an inverted “U”-shaped relationship between digital economy and the supply of basic public services and most of the cities situate at the left-hand side of the inflection point. Market enabling and financial enabling serve as the transmission channel through which digital economy affects the supply of basic public services. In non-central cities and areas where energy consumption is high, development of digital economy and the supply of basic public services remain effective in promotion in the first place and inhibition afterwards. A further study shows that there is a non-linear relationship, namely, digital economy plays a role in promoting in the first place and inhibiting afterwards in basic public services such as employment services, social security, and health care. The study’s findings stated hereinafter serve as a reference as to precise formulation of basic public services in the digital and intelligent era, as well as facilitating with sustainable growth.

Keywords: Digital economy; The supply of basic public services; Market enabling; Financial enabling (search for similar items in EconPapers)
Date: 2024
References: Add references at CitEc
Citations:

Downloads: (external link)
http://link.springer.com/10.1007/s13132-024-01743-0 Abstract (text/html)
Access to the full text of the articles in this series is restricted.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:jknowl:v:15:y:2024:i:4:d:10.1007_s13132-024-01743-0

Ordering information: This journal article can be ordered from
http://www.springer.com/economics/journal/13132

DOI: 10.1007/s13132-024-01743-0

Access Statistics for this article

Journal of the Knowledge Economy is currently edited by Elias G. Carayannis

More articles in Journal of the Knowledge Economy from Springer, Portland International Center for Management of Engineering and Technology (PICMET)
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().