Abstract

ABSTRACT The digital economy plays an important role in society and the economy. However, we know little about what factors affect the development of the digital economy. Using a self-developed index for measuring Chinese provincial-level digital economy development, this paper examines the impact of intellectual property protection on the digital economy. We find that there is a U-shaped relationship between intellectual property protection and digital economy. Our findings remain valid after a battery of robustness tests. Our findings support the importance of intellectual property protection in developing the digital economy.

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