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Digital Economy’s Impact on High-Quality Economic Growth: a Comprehensive Analysis in the Context of China

Author

Listed:
  • Rong Xu

    (Anhui Polytechnic University)

  • Huixian Yao

    (Anhui Polytechnic University)

  • Junfeng Li

    (Wuhu Industrial Innovation Center)

Abstract

In the rapidly evolving global economic environment, China has emerged as a key player and is now shifting its focus from rapid progress to concentrating on superior development within the ever-changing global economy. The transformation is being driven by the digital economy, which is powered by advancements in Internet of Things, cloud computing, and 5G technology. This paper explores the logical connection between economic growth and the digital economy in China, focusing on its evolving conceptual framework and multifaceted dimensions. It addresses the lack of consensus in academia on a definition that ranges from e-commerce infrastructure to ICT-based economic activities. This study utilizes relevant provincial data in China for empirical analysis to validate these theoretical foundations; the findings demonstrate the pivotal role of digital economy in driving regional economic growth, with diverse impacts across different provinces of China. Notably, the eastern region stands out as the most affected, showing a pronounced intermediary effect through industrial structure optimization. The study highlights the crucial role played by the digital economy in fostering high-quality economic growth in China and offers policy recommendations emphasizing the need to strengthen digital infrastructure, promote industrial structure optimization, and tailor economic policies to regional conditions for coordinated development. While acknowledging limitations in current digital economy assessment techniques, this research provides valuable insights into a dynamic and evolving field.

Suggested Citation

  • Rong Xu & Huixian Yao & Junfeng Li, 2025. "Digital Economy’s Impact on High-Quality Economic Growth: a Comprehensive Analysis in the Context of China," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 16(1), pages 2861-2879, March.
    • Handle: RePEc:spr:jknowl:v:16:y:2025:i:1:d:10.1007_s13132-024-02082-w
    DOI: 10.1007/s13132-024-02082-w
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