Spatial effect of digital economy on high-quality economic development in China and and its influence path

The digital economy has become a critical factor in promoting high-quality economic development, achieving the digital transformation of the economy, and promoting common prosperity in China. This paper analyzes the impact mechanism of the digital economy on high-quality economic development and constructs two transmission paths via entrepreneurship and innovation. Then, based on the panel data sets of 287 cities at prefecture-level and above in China from 2011 to 2018, this paper analyzes the evolution of digital economy (DE) and high-quality economic development (HQE) from two dimensions of time and space and empirically tests its influencing process mechanism and spatial heterogeneity by using spatial Durbin model and intermediary effect model. The conclusions are drawn as follows. (1) From 2011 to 2018, the levels of DE and HQE in China showed an overall improvement trend, with the kernel density of DE showing different stages. Meanwhile, the levels of DE and HQE have apparent global spatial autocorrelation in terms of spatial characteristics. (2) The DE has formed an obvious H-H (high-high) area in the south-central Yangtze River Delta and Pearl River Delta, while the HQE has formed a H-H spatial local pattern in the north-central Yangtze River Delta and Pearl River Delta. (3) The improvement of the DE is conducive to the HQE of the local economy but has no significant positive impact on the HQE of the neighbouring regions, which means that there may be digital isolation. In the eastern, central and northeastern regions of China, the development of the DE has a significant positive effect on the HQE, which is most evident in the eastern region. From the measurement results of different types of cities, the impact of the DE on the HQE shows a decreasing trend from mega-cities to small and medium-sized cities. (4) The results of the mediating effects model verify that the level of entrepreneurship and innovation is a mediating variable in the DE driving HQE. However, there is significant spatial heterogeneity simultaneously. (5) The paper concludes with how the development of the digital economy can be deployed accordingly at macro and micro levels to achieve sustainable and high-quality economic development.