Nonlinear Influence of Digital Economy on Rural Revitalization

Abstract

By measuring the level of digital economy and rural revitalization in different regions, this paper analyzes the nonlinear impact of digital economy on rural revitalization by using a panel threshold regression model. It is found that when the consumption level of rural residents and digital inclusive finance level are taken as threshold variables, the impact of digital economy on rural revitalization has single and double threshold effects respectively. With the improvement of rural residents’ consumption and digital inclusive finance levels, the digital economy plays an increasingly important role in promoting rural revitalization, showing a rising trend. Further, through grouping regression, it is found that the promotion of digital economy to rural revitalization is only significant in the western region where the economy is relatively backward, but not significant in the central and eastern regions.