Effects of the digital economy on carbon emissions in China: an analysis based on different innovation paths.

Abstract

As the digital economy grows rapidly around the world, how would it impact carbon emissions? This paper discusses this issue from the perspective of heterogeneous innovation. Based on the panel data of 284 cities in China from 2011 to 2020, this paper empirically examines the impact of the digital economy on carbon emissions as well as the mediating and threshold effects of different innovation modes. The study finds that the digital economy can significantly reduce carbon emissions; this conclusion holds after a series of robustness tests. Independent innovation and imitative innovation are important channels through which the digital economy affects carbon emissions, but technological introduction is not an effective way. For regions with high levels of financial investment in science and innovative talents, the reduction in carbon emissions from the digital economy is more significant. Further research shows that the effect of the digital economy on carbon emissions has a threshold feature, with an inverted U-shaped relationship between the two, and that an increase in autonomous innovation and imitation innovation can enhance the digital economy's carbon reduction effect. Therefore, it is necessary to strengthen the capacity of independent innovation and imitation innovation to exploit the carbon-cutting effect of the digital economy.