The impact of the digital economy on the urban-rural income gap: Research based on the rationalization of the industrial

Abstract

The booming digital economy will affect the income gap between urban and rural areas in China. Based on the provincial data from 2011 to 2021, this paper selects a fixed-effect model to empirically test the impact of digital economy on the urban and rural income gap in China and the adjustment effect of the rationalization of industrial structure. The research shows that digital economy can significantly improve the urban-rural income gap, while the rationalization of industrial structure will expand the gap and reduce the effect of digital economy on the urban-rural income gap; Regional heterogeneity test shows that the effect of digital economy on the urban-rural income gap, and the marginal effect of digital economy on the urban-rural income gap is less than that in the central and western regions. Therefore, the government should vigorously develop the rural digital economy, pay attention to the training and introduction of rural digital technology talents, and implement the differentiated digital economy development strategy according to local conditions, so as to better realize the role of digital economy in improving the urban and rural income gap in China.