Can digitalization and low-carbonization progress in harmony? Evidence from Chinese cities

Abstract

Achieving high-quality development of the city requires actively promoting coordinated digitalization and low-carbon development. Previous studies have focused on the unidirectional impact of urban digitalization on low-carbonization and there is a lack of research on their interactions. This study uses the generalized spatial three-stage least squares method and the spatial simultaneous equation to investigate the endogenous interactions between urban digitalization and low-carbonization. The properties of the spatiotemporal evolution are then examined using linked coordination degree models, kernel density, and spatial statistical approaches. Finally, using the spatial panel metering model, this study empirically investigates the motivations behind the synergistic advancement of digitalization and low-carbonization. The results show that: (1) There is an endogenous interaction between urban digitalization and low-carbonization and that this interaction pattern is closely linked to geographical proximity. (2) In general, both urban digitalization and low-carbonization have a positive spatial impact and a negative spatial interaction, and their coordination levels have a significant spatial impact. (3) Throughout the research period, the coordination degree of urban digitalization and low carbonization continued to increase, showing a positive spatial correlation and a balanced development trend. (4) Economic development, industrial structure, and human capital accumulation are vital internal drivers of the synergistic advancement of urban digitalization and low carbonization. Government capacities and technological innovations are key external factors that contribute to the synergistic advancement of urban digitalization and low-carbonization. Overall, the paper is essential not only to deepen understanding of the relationship between urban digitalization and low-carbonization but also to formulate policies for their coordinated development.