Study on the impact of digital economy on industrial collaborative agglomeration: Evidence from manufacturing and productive service industries

Abstract

In the digital era, digital economy has a far-reaching impact on the collaborative agglomeration of manufacturing and service industries. This research aims to examine the economic relationship between digital economy and industrial collaborative agglomeration. Based on a panel data set of 286 Chinese cities, this research employs Tobit model, moderating effect model, and mediating effect model to conduct data analysis. It is found that digital economy has a nonlinear relationship with industrial collaborative agglomeration, and this relationship is a U-shape. Moderating effect analysis reveals that government intervention significantly regulates the role of digital economy in industrial collaborative agglomeration. Mediating effect analysis indicates that digital economy promotes industrial collaborative agglomeration through entrepreneurial activity. Heterogeneity analysis shows that the facilitating effect of digital economy on collaborative agglomeration in high-end industries comes earlier than in middle- and low-end industries. Moreover, this research finds that digital economy plays a significant role in industrial collaborative agglomeration in central and western regions of China but not in the eastern region. To enhance the impact of digital economy on industrial collaborative agglomeration, it is crucial to strengthen the engagement of the government and ensure the availability of digital technology.