Can the digital economy development curb carbon emissions? Evidence from China

Abstract

“Carbon neutrality, carbon peaking” is China’s national commitment to the whole world about its plans to manage global climate change. China faces many severe challenges in fulfilling its commitments to reduce emissions. China’s digital economy is currently booming, and whether it can provide opportunities for reducing regional carbon emissions is worth exploring. This study constructed a comprehensive system to evaluate the development of its digital economy based on China’s regional data and empirically tested the direct, indirect, and spatial effects of the comprehensive development of digital economy on regional carbon emissions. In addition, it examined the special stage characteristics using a Hansen threshold model. This study found the following: first, the digital economy significantly suppresses carbon emissions in general, notably with a spatial spillover effect to neighboring provinces. Secondly, an analysis of the mechanism shows that the comprehensive development of a digital economy can restrain regional carbon emissions through industrial progress and the optimization of energy consumption. Third, there are double thresholds, special driving trends and an “inverted N-type” relationship with development. Fourth, a spatial heterogeneity analysis revealed that significant “local” and “neighboring” impacts on the reduction of carbon emissions only exist in the central and eastern areas. This study has a reference value for releasing the dividend of digital economy development and reducing carbon emissions.

Pathways to Sustainable Development: Corporate Digital Transformation and Environmental Performance in China

“…Existing studies on the impact of the digital economy on environmental performance are mainly from the perspective of carbon emissions, and the vast majority of them agree that the digital economy suppresses carbon emissions in general [36]. However, these studies have different views on the study of intermediate transmission mechanisms; for example, some studies in the literature argue that the overall development of the digital economy can suppress regional carbon emissions through industrial progress and the optimization of energy consumption [37]. Others argue that the digital economy can suppress regional carbon emissions mainly through the innovation effect and industrial structure upgrading effect [38,39].…”

Research on the impact of digital economy on green total factor productivity: theoretical mechanism and multidimensional empirical analysis

“…Conversely, Yu et al (2022) contend that DE leads to increased carbon emissions only at low levels of green energy efficiency. Additionally, Hao et al (2022) have uncovered an inverted N-shaped connection between DE and environmental pollution. Furthermore, Li et al (2021) have proposed that DE can substantially reduce PM2.5 levels only when the rate of urbanization and the density of population exceed certain thresholds, while it can significantly increase PM2.5 levels only when GDP per capita surpasses a certain threshold.…”

Research on the Effect of Digital Economy on Carbon Emissions under the Background of “Double Carbon”

“…Carbon emissions are inhibited through innovation and industrial structure upgrading effects and show significant spatial spillover effects. Comprehensive development of the digital economy can restrain regional carbon emissions through industrial progress and energy consumption optimization [ 36 ]. It is found that the centrality of the network has a favorable regulatory impact on this mechanism and that the digital economy may improve the decoupling of carbon emissions by optimizing industrial structure [ 37 ].…”