IDEAS home Printed from https://ideas.repec.org/a/gam/jijerp/v19y2022i9p5074-d799144.html
   My bibliography  Save this article

Interaction between Digital Economy and Environmental Pollution: New Evidence from a Spatial Perspective

Author

Listed:
  • Sa Xu

    (School of Economics and Management, Hunan Institute of Technology, Hengyang 421002, China)

  • Cunyi Yang

    (School of Economics and Statistics, Guangzhou University, Guangzhou 510006, China)

  • Zhehao Huang

    (Guangzhou Institute of International Finance, Guangzhou University, Guangzhou 510405, China)

  • Pierre Failler

    (Centre for Blue Governance, University of Portsmouth, Portsmouth PO1 3DE, UK)

Abstract

The digital economy and the green economy are two major issues for economic recovery in the post epidemic era. From spatial interaction spillover, we analyze and measure the relationships between the digital economy and environmental pollution in 287 prefecture-level cities in China from 2008 to 2018 using simultaneous spatial equations and the generalized 3-stage least square (GS3SLS) method. The results show that: (1) there is a reverse and complex spatio-temporal evolution of the digital economy and environmental pollution in Chinese cities. (2) There is a spatial interaction spillover effect between the digital economy and environmental pollution. Local digital economy and environmental pollution inhibit each other. The digital economy and environmental pollution have a significant spatial spillover. The digital economy of surrounding regions has a suppressive effect on local environmental pollution. The environmental pollution of surrounding cities has a crowding-out effect on the local digital economy. (3) Digital economy suppresses environmental pollution through the green development effect and innovative development effect; environmental pollution suppresses the digital economy through the talent crowding out effect and the policy tightening effect. The conclusion of this paper provides evidence for the coupling and coordinated development between the digital and green economy, which is of great significance for promoting the transformation of economic development modes and realizing green and high-quality development.

Suggested Citation

  • Sa Xu & Cunyi Yang & Zhehao Huang & Pierre Failler, 2022. "Interaction between Digital Economy and Environmental Pollution: New Evidence from a Spatial Perspective," IJERPH, MDPI, vol. 19(9), pages 1-23, April.
  • Handle: RePEc:gam:jijerp:v:19:y:2022:i:9:p:5074-:d:799144
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/1660-4601/19/9/5074/pdf
    Download Restriction: no

    File URL: https://www.mdpi.com/1660-4601/19/9/5074/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Grimaud, Andre, 1999. "Pollution Permits and Sustainable Growth in a Schumpeterian Model," Journal of Environmental Economics and Management, Elsevier, vol. 38(3), pages 249-266, November.
    2. Yoshihiro Hamaguchi, 2021. "Environmental policy effects: an R&D-based economic growth model with endogenous labour supply," Journal of Economic Policy Reform, Taylor & Francis Journals, vol. 24(2), pages 236-252, April.
    3. De Bruyn, Sander M., 1997. "Explaining the environmental Kuznets curve: structural change and international agreements in reducing sulphur emissions," Environment and Development Economics, Cambridge University Press, vol. 2(4), pages 485-503, November.
    4. Yoshihiro Hamaguchi, 2021. "Polluting firms' location choices and pollution havens in an R&D-based growth model for an international emissions trading market," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 30(4), pages 625-642, May.
    5. Chu, Hsun & Lai, Ching-chong, 2014. "Abatement R&D, market imperfections, and environmental policy in an endogenous growth model," Journal of Economic Dynamics and Control, Elsevier, vol. 41(C), pages 20-37.
    6. Judd Cramer & Alan B. Krueger, 2016. "Disruptive Change in the Taxi Business: The Case of Uber," American Economic Review, American Economic Association, vol. 106(5), pages 177-182, May.
    7. Shuai Wang & Cunyi Yang & Zhenghui Li, 2021. "Spatio-Temporal Evolution Characteristics and Spatial Interaction Spillover Effects of New-Urbanization and Green Land Utilization Efficiency," Land, MDPI, vol. 10(10), pages 1-26, October.
    8. Zhenghui Li & Fanqi Zou & Yong Tan & Jinhui Zhu, 2021. "Does Financial Excess Support Land Urbanization—An Empirical Study of Cities in China," Land, MDPI, vol. 10(6), pages 1-17, June.
    9. Fen Li & Cunyi Yang & Zhenghui Li & Pierre Failler, 2021. "Does Geopolitics Have an Impact on Energy Trade? Empirical Research on Emerging Countries," Sustainability, MDPI, vol. 13(9), pages 1-24, May.
    10. Li, Zhenghui & Chen, Liming & Dong, Hao, 2021. "What are bitcoin market reactions to its-related events?," International Review of Economics & Finance, Elsevier, vol. 73(C), pages 1-10.
    11. Olivera Kostoska & Ljupco Kocarev, 2019. "A Novel ICT Framework for Sustainable Development Goals," Sustainability, MDPI, vol. 11(7), pages 1-31, April.
    12. Adeoluwa Akande & Pedro Cabral & Sven Casteleyn, 2019. "Assessing the Gap between Technology and the Environmental Sustainability of European Cities," Information Systems Frontiers, Springer, vol. 21(3), pages 581-604, June.
    13. Grimaud, Andre & Tournemaine, Frederic, 2007. "Why can an environmental policy tax promote growth through the channel of education?," Ecological Economics, Elsevier, vol. 62(1), pages 27-36, April.
    14. Gouvea, Raul & Kapelianis, Dimitri & Kassicieh, Sul, 2018. "Assessing the nexus of sustainability and information & communications technology," Technological Forecasting and Social Change, Elsevier, vol. 130(C), pages 39-44.
    15. Zhenghui Li & Zhiming Ao & Bin Mo, 2021. "Revisiting the Valuable Roles of Global Financial Assets for International Stock Markets: Quantile Coherence and Causality-in-Quantiles Approaches," Mathematics, MDPI, vol. 9(15), pages 1-18, July.
    16. Chen, Zhao & Kahn, Matthew E. & Liu, Yu & Wang, Zhi, 2018. "The consequences of spatially differentiated water pollution regulation in China," Journal of Environmental Economics and Management, Elsevier, vol. 88(C), pages 468-485.
    17. Maddison, David, 2006. "Environmental Kuznets curves: A spatial econometric approach," Journal of Environmental Economics and Management, Elsevier, vol. 51(2), pages 218-230, March.
    18. Zhenghui Li & Zimei Huang & Pierre Failler, 2022. "Dynamic Correlation between Crude Oil Price and Investor Sentiment in China: Heterogeneous and Asymmetric Effect," Energies, MDPI, vol. 15(3), pages 1-22, January.
    19. Minoru Nakada, 2004. "Does Environmental Policy Necessarily Discourage Growth?," Journal of Economics, Springer, vol. 81(3), pages 249-275, March.
    20. Gebremeskel Gebremariam & Tesfa Gebremedhin & Peter Schaeffer, 2010. "Analysis of county employment and income growth in Appalachia: a spatial simultaneous-equations approach," Empirical Economics, Springer, vol. 38(1), pages 23-45, February.
    21. Yaya Su & Zhenghui Li & Cunyi Yang, 2021. "Spatial Interaction Spillover Effects between Digital Financial Technology and Urban Ecological Efficiency in China: An Empirical Study Based on Spatial Simultaneous Equations," IJERPH, MDPI, vol. 18(16), pages 1-27, August.
    22. Cunyi Yang & Tinghui Li & Khaldoon Albitar, 2021. "Does energy efficiency affect ambient PM2.5? The moderating role of energy investment," Papers 2105.11080, arXiv.org.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Zhenxiang Cao & Liqing Peng, 2023. "The Impact of Digital Economics on Environmental Quality: A System Dynamics Approach," SAGE Open, , vol. 13(4), pages 21582440231, December.
    2. Shunbin Zhong & Huafu Shen & Ziheng Niu & Yang Yu & Lin Pan & Yaojun Fan & Atif Jahanger, 2022. "Moving towards Environmental Sustainability: Can Digital Economy Reduce Environmental Degradation in China?," IJERPH, MDPI, vol. 19(23), pages 1-23, November.
    3. Meili Zhang & Shi Yin, 2023. "Can China’s Digital Economy and Green Economy Achieve Coordinated Development?," Sustainability, MDPI, vol. 15(7), pages 1-25, March.
    4. Yunyan Jiang & Feng Deng, 2022. "Multi-Dimensional Threshold Effects of the Digital Economy on Green Economic Growth?—New Evidence from China," Sustainability, MDPI, vol. 14(19), pages 1-22, October.
    5. Xinfeng Chang & Jian Su & Zihe Yang, 2022. "The Effect of Digital Economy on Urban Green Transformation—An Empirical Study Based on the Yangtze River Delta City Cluster in China," Sustainability, MDPI, vol. 14(21), pages 1-19, October.
    6. Guoge Yang & Fengyi Wang & Feng Deng & Xianhong Xiang, 2023. "Impact of Digital Transformation on Enterprise Carbon Intensity: The Moderating Role of Digital Information Resources," IJERPH, MDPI, vol. 20(3), pages 1-26, January.
    7. Lu Liu & Yuxin Meng & Qiying Ran, 2023. "The Impact and Mechanism of the Digital Economy on Carbon Emission Efficiency: A Perspective Based on Provincial Panel Data in China," Sustainability, MDPI, vol. 15(19), pages 1-15, September.
    8. Mingyue Du & Siyu Ren, 2023. "Does the digital economy promote industrial green transformation? Evidence from spatial Durbin model," Journal of Information Economics, Anser Press, vol. 1(1), pages 1-17, January.
    9. Lifang Zhang & Yuexu Zhao, 2023. "Research on the Coupling Coordination of Green Finance, Digital Economy, and Ecological Environment in China," Sustainability, MDPI, vol. 15(9), pages 1-16, May.
    10. Kai Yuan & Biao Hu & Xinlong Li & Tingyun Niu & Liang Zhang, 2023. "Exploration of Coupling Effects in the Digital Economy and Eco-Economic System Resilience in Urban Areas: Case Study of the Beijing-Tianjin-Hebei Urban Agglomeration," Sustainability, MDPI, vol. 15(9), pages 1-28, April.
    11. Shijin Wang & Fan Tong, 2022. "Impact of Internet Development on Carbon Emissions in Jiangsu, China," IJERPH, MDPI, vol. 19(24), pages 1-14, December.
    12. Zhu, Minglei & Huang, Haiyan & Ma, Weiwen, 2023. "Transformation of natural resource use: Moving towards sustainability through ICT-based improvements in green total factor energy efficiency," Resources Policy, Elsevier, vol. 80(C).
    13. Guoteng Xu & Shuai Peng & Chengjiang Li & Xia Chen, 2023. "Synergistic Evolution of China’s Green Economy and Digital Economy Based on LSTM-GM and Grey Absolute Correlation," Sustainability, MDPI, vol. 15(19), pages 1-29, September.
    14. Xiaoli Wu & Yaoyao Qin & Qizhuo Xie & Yunyi Zhang, 2022. "The Mediating and Moderating Effects of the Digital Economy on PM 2.5 : Evidence from China," Sustainability, MDPI, vol. 14(23), pages 1-17, November.
    15. Xing Zhang & Jian Zhong & Huanfang Wang, 2023. "Does the Development of Digital Economy Affect Environmental Pollution?," Sustainability, MDPI, vol. 15(12), pages 1-18, June.
    16. Yukun Ma & Shaojian Wang & Chunshan Zhou, 2023. "Can the Development of the Digital Economy Reduce Urban Carbon Emissions? Case Study of Guangdong Province," Land, MDPI, vol. 12(4), pages 1-13, March.
    17. Jiaoning Zhang & Xiaoyu Ma & Jiamin Liu, 2022. "How Can the Digital Economy and Human Capital Improve City Sustainability," Sustainability, MDPI, vol. 14(23), pages 1-18, November.
    18. Xiaoming Song & Ze Tian & Chenhui Ding & Chao Liu & Wei Wang & Ronggai Zhao & Yingchun Xing, 2022. "Digital Economy, Environmental Regulation, and Ecological Well-Being Performance: A Provincial Panel Data Analysis from China," IJERPH, MDPI, vol. 19(18), pages 1-21, September.
    19. Weiran Cao & Zengjie Cai & Xu Yao & Lifeng Chen, 2023. "Digital Transformation to Help Carbon Neutrality and Green Sustainable Development Based on the Metaverse," Sustainability, MDPI, vol. 15(9), pages 1-15, April.
    20. Senhua Huang & Wenzhong Ye & Feng Han, 2023. "Does the Digital Economy Promote Industrial Collaboration and Agglomeration? Evidence from 286 Cities in China," Sustainability, MDPI, vol. 15(19), pages 1-24, October.
    21. Zhiqiang Zhou & Wenyan Liu & Huilin Wang & Jingyu Yang, 2022. "The Impact of Environmental Regulation on Agricultural Productivity: From the Perspective of Digital Transformation," IJERPH, MDPI, vol. 19(17), pages 1-19, August.
    22. Fengge Yao & Ying Song & Xiaomei Wang, 2023. "How the Digital Economy Empowers the Structural Upgrading of Cultural Industries—An Analysis Based on the Spatial Durbin Model," Sustainability, MDPI, vol. 15(19), pages 1-17, October.
    23. Senhua Huang & Feng Han & Lingming Chen, 2023. "Can the Digital Economy Promote the Upgrading of Urban Environmental Quality?," IJERPH, MDPI, vol. 20(3), pages 1-21, January.
    24. Li, Shuangyan & Chang, Ge & Zunong, Reyihanguli, 2023. "Does regional digital economy development influence green investment?," Innovation and Green Development, Elsevier, vol. 2(3).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Shan Huang & Yan Ding & Pierre Failler, 2022. "Does the Government’s Environmental Attention Affect Ambient Pollution? Empirical Research on Chinese Cities," Sustainability, MDPI, vol. 14(6), pages 1-19, March.
    2. Kaiming Zhong & Hongyan Fu & Tinghui Li, 2022. "Can the Digital Economy Facilitate Carbon Emissions Decoupling? An Empirical Study Based on Provincial Data in China," IJERPH, MDPI, vol. 19(11), pages 1-25, June.
    3. Yan Ding & Yue Liu & Pierre Failler, 2022. "The Impact of Uncertainties on Crude Oil Prices: Based on a Quantile-on-Quantile Method," Energies, MDPI, vol. 15(10), pages 1-35, May.
    4. Afonso, Oscar, 2023. "Fiscal and monetary effects on environmental quality, growth, and welfare," Research in Economics, Elsevier, vol. 77(1), pages 202-219.
    5. Shuai Wang & Cunyi Yang & Zhenghui Li, 2022. "Green Total Factor Productivity Growth: Policy-Guided or Market-Driven?," IJERPH, MDPI, vol. 19(17), pages 1-19, August.
    6. Yue Liu & Pierre Failler & Zhiying Liu, 2022. "Impact of Environmental Regulations on Energy Efficiency: A Case Study of China’s Air Pollution Prevention and Control Action Plan," Sustainability, MDPI, vol. 14(6), pages 1-21, March.
    7. Jing Tang & Shilong Li, 2022. "How Do Environmental Regulation and Environmental Decentralization Affect Regional Green Innovation? Empirical Research from China," IJERPH, MDPI, vol. 19(12), pages 1-16, June.
    8. Abdullah F. Alnaim & Nadia Abdelhamid Abdelmegeed Abdelwahed & Bahadur Ali Soomro, 2022. "Environmental Challenges and Green Innovation Strategy: A Vigorous Development of Greener Dynamics," Sustainability, MDPI, vol. 14(15), pages 1-18, August.
    9. Tinghui Li & Jiehua Ma & Bin Mo, 2021. "Does Environmental Policy Affect Green Total Factor Productivity? Quasi-Natural Experiment Based on China’s Air Pollution Control and Prevention Action Plan," IJERPH, MDPI, vol. 18(15), pages 1-23, August.
    10. Renato Camodeca & Alex Almici, 2021. "Digital Transformation and Convergence toward the 2030 Agenda’s Sustainability Development Goals: Evidence from Italian Listed Firms," Sustainability, MDPI, vol. 13(21), pages 1-18, October.
    11. Yanling Li & Mengxin Wang & Gaoke Liao & Junxia Wang, 2022. "Spatial Spillover Effect and Threshold Effect of Digital Financial Inclusion on Farmers’ Income Growth—Based on Provincial Data of China," Sustainability, MDPI, vol. 14(3), pages 1-16, February.
    12. Xiaoxiang Xu & Mingqiu Liao, 2022. "Prediction of China’s Economic Structural Changes under Carbon Emission Constraints: Based on the Linear Programming Input–Output (LP-IO) Model," Sustainability, MDPI, vol. 14(15), pages 1-13, July.
    13. Haihua Liu & Peng Wang & Zejun Li, 2021. "Is There Any Difference in the Impact of Digital Transformation on the Quantity and Efficiency of Enterprise Technological Innovation? Taking China’s Agricultural Listed Companies as an Example," Sustainability, MDPI, vol. 13(23), pages 1-19, November.
    14. Charfeddine, Lanouar & Umlai, Mohamed, 2023. "ICT sector, digitization and environmental sustainability: A systematic review of the literature from 2000 to 2022," Renewable and Sustainable Energy Reviews, Elsevier, vol. 184(C).
    15. Yugang He & Ziqian Zhang, 2022. "Energy and Economic Effects of the COVID-19 Pandemic: Evidence from OECD Countries," Sustainability, MDPI, vol. 14(19), pages 1-13, September.
    16. Atwi, Majed & Barberán, Ramón & Mur, Jesús & Angulo, Ana, 2018. "CO2 Kuznets Curve Revisited: From Cross-Sections to Panel Data Models," INVESTIGACIONES REGIONALES - Journal of REGIONAL RESEARCH, Asociación Española de Ciencia Regional, issue 40, pages 169-196.
    17. Yuanying Chi & Situo Xu & Xiaolei Yang & Jialin Li & Xufeng Zhang & Yahui Chen, 2023. "Research on Beijing Manufacturing Green-Oriented Transition Path under “Double Carbon” Goal-Based on the GML-SD Model," Sustainability, MDPI, vol. 15(9), pages 1-17, May.
    18. Silva, Susana & Soares, Isabel & Afonso, Oscar, 2013. "Economic growth and polluting resources: Market equilibrium and optimal policies," Economic Modelling, Elsevier, vol. 30(C), pages 825-834.
    19. María‐José Gutiérrez, 2008. "Dynamic Inefficiency in an Overlapping Generation Economy with Pollution and Health Costs," Journal of Public Economic Theory, Association for Public Economic Theory, vol. 10(4), pages 563-594, August.
    20. Yue Liu & Pierre Failler & Liming Chen, 2021. "Can Mandatory Disclosure Policies Promote Corporate Environmental Responsibility?—Quasi-Natural Experimental Research on China," IJERPH, MDPI, vol. 18(11), pages 1-19, June.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jijerp:v:19:y:2022:i:9:p:5074-:d:799144. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.