How Can the Digital Economy Enable Sustainable Agricultural Development: Insights from China’s Factor Input Efficiency

As the world’s second-largest digital economy, China plays a pivotal role in the global digital transformation. This study investigates how the digital economy contributes to sustainable agricultural development (SAD), with a focus on improving factor input efficiency. Specifically, it explores the mechanisms through which digitalization influences agricultural production, circulation, and distribution; examines regional and policy-period heterogeneity; and evaluates the nonlinear effects of digital development from 2013 to 2023. To achieve this, the study employs panel regression models and quantile regression techniques using provincial data across China. The results show that the digital economy significantly enhances SAD by improving the efficiency of key production factors—labor, capital, land, and technology. Interaction terms indicate strong positive correlations, particularly in central China. The digital economy’s impact was relatively limited prior to 2018 but intensified following major digital policy initiatives. Quantile regression results further confirm the robustness and nonlinearity of these effects, especially in more developed eastern regions. These findings underscore the importance of tailored, needs-based digital interventions to accelerate agricultural sustainability in diverse regional contexts.