Multi-Dimensional Threshold Effects of the Digital Economy on Green Economic Growth?—New Evidence from China

Abstract

China’s economy has shifted from a high-speed growth stage to a high-quality development stage. Achieving green and sustainable growth driven by the digital economy is its most important purpose. Based on provincial panel data from 2013 to 2019, this paper examines the spatial heterogeneity of the digital economy (Dig) and its nonlinear impact on green economic growth (Geg) from multiple dimensions, using threshold models and spatiotemporal geographic weighting models. The study found that: (1) Dig can significantly promote Geg, but it presents a typical nonlinear characteristic: double thresholds with a trend of “weak negative → strong positive → weak positive”; (2) in this process, the three critical nonlinear factors are financial agglomeration (Fina) with a single threshold of “0.186” and the trend of “weak negative → strong positive”, the marketization level (Market) with double thresholds of “4.448 and 9.06” and the trend of “weak negative → strong positive → positive”, and green technology innovation (Grti) with double thresholds of “5.236 and 9.152” and the trend of “strong negative → strong positive → positive”; (3) the multi-dimensional composite threshold effect indicates that when 0.061 < Dig < 0.539, 5.236 < Grti < 9.152, 4.448 < Market < 9.06, and 0.186 < Fina, the digital economy has the greatest effect on the promotion of green economic growth; and (4) the spatial distribution regression results show that there is obvious regional heterogeneity. The paper has reference value in maximizing the promotion effect of the digital economy on green economic growth.