Digital economy development boosts urban resilience—evidence from China

Digital economy development boosts urban resilience—evidence from China

2024 | Haohui Wang, Gang Peng, Hongmei Du
This paper examines the impact of digital economic development (Dig) on urban resilience (Ur) in China, using data from 252 cities from 2011 to 2020. The study employs the entropy-weighted TOPSIS method to measure Ur and Dig levels. Key findings include: 1. **Linear Impact**: Dig significantly enhances Ur at the 1% significance level, as confirmed by endogeneity and robustness tests. 2. **Mechanisms**: Dig improves Ur by optimizing urban distribution effects and promoting industrial structure upgrades. The nonlinear relationship between Dig and Ur is explored using the MMQR model and threshold models, revealing a U-shaped impact. 3. **Spatial Effects**: Dig has a significant spatial spillover effect, enhancing Ur in both the city where Dig develops and neighboring areas. 4. **Heterogeneity**: The impact of Dig on Ur varies by city class, city cluster, and region. High-class cities, key city clusters, and eastern regions show greater effects. The study provides insights for countries to enhance urban resilience and promote sustainable urban development through digital economy development. Key recommendations include accelerating Dig development, optimizing urban distribution, and promoting industrial structure upgrades.This paper examines the impact of digital economic development (Dig) on urban resilience (Ur) in China, using data from 252 cities from 2011 to 2020. The study employs the entropy-weighted TOPSIS method to measure Ur and Dig levels. Key findings include: 1. **Linear Impact**: Dig significantly enhances Ur at the 1% significance level, as confirmed by endogeneity and robustness tests. 2. **Mechanisms**: Dig improves Ur by optimizing urban distribution effects and promoting industrial structure upgrades. The nonlinear relationship between Dig and Ur is explored using the MMQR model and threshold models, revealing a U-shaped impact. 3. **Spatial Effects**: Dig has a significant spatial spillover effect, enhancing Ur in both the city where Dig develops and neighboring areas. 4. **Heterogeneity**: The impact of Dig on Ur varies by city class, city cluster, and region. High-class cities, key city clusters, and eastern regions show greater effects. The study provides insights for countries to enhance urban resilience and promote sustainable urban development through digital economy development. Key recommendations include accelerating Dig development, optimizing urban distribution, and promoting industrial structure upgrades.
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