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Digitalization and income inequality: evidence from households
By capturing the adoption of digital services and applications as well as digital industry
development, this paper constructs a comprehensive index to measure digitalization at
the city level in the People’s Republic of China (PRC) and investigates the impact of
digitalization on income inequality using household-level data in the PRC. The findings
reveal that a one-unit advancement in the digitalization index significantly reduces the
income gap by 1.83% for an average household. This mitigating effect remains
statistically and economically significant after addressing endogeneity and robustness
concerns. The impact is more pronounced in less-developed areas and among
households with lower education levels. Further analysis shows that digitalization narrows
the income gap by increasing earnings more for lower-income households, primarily
through enhanced employment and investment opportunities. Additionally, digitalization
boosts business income for entrepreneurial households. These findings provide valuable
policy insights, suggesting that developing economies can reduce income inequality by
promoting digitalization, supporting digital-related job creation, and enhancing financial
literacy.
Ketersediaan
| Call Number | Location | Available |
|---|---|---|
| ADB Repository Online | 0 |
| Penerbit | Manila: ADB 2025 |
|---|---|
| Edisi | - |
| Subjek | Economics |
| ISBN/ISSN | 23136545 |
| Klasifikasi | NONE |
| Deskripsi Fisik | 24 p. |
| Info Detail Spesifik | - |
| Other Version/Related | Tidak tersedia versi lain |
| Lampiran Berkas |