The Impact of Digital Economy on Employment in Countries Along the Belt and Road

Abstract

The digital economy is emerging as a pivotal driver for fostering the high-quality development of the Belt and Road Initiative (BRI). It also has noticeable impacts on employment. This study utilized panel data from countries along the Belt and Road from 2010 to 2021 to investigate this nexus. First, an evaluation index system was established to assess the digital economy’s development level. Subsequently, the entropy method was employed to measure the development level of the digital economy among countries along the Belt and Road. Then, it empirically examined the impact of the development of the digital economy on employment in countries along the Belt and Road. The study revealed that the overall impact of digital economy development on employment rate promotion was significant; however, disparities exist among different income groups of countries. In light of this, to enhance the employment situation in countries along the Belt and Road and facilitate the digital economy’s contribution to its development, this article proposes three suggestions: (a) Directing investment for digital economy development; (b) enhancing the development of digital talents; (c) advancing digital innovation and cooperation. JEL Classification F062.4