Research On The Influence Of Digital Input On Industrial Total Factor Productivity

Although China’s industry has achieved effective improvement in quality and rapid growth in quantity since the reform and opening up,it is still faced with bottlenecks such as rising cost of factor input,low quality of supply and insufficient effective demand.In the face of the dynamic development of domestic and foreign market environment,how to find new economic strength points and grasp the development opportunities in the new era has become the key to promote the development of high quality of industry and industrial structure transformation and upgrading at present.At the same time,the scale of the digital economy is expanding,the digitization of industry has become a key field of digital technology development,and deepening the integration of digital technology and industry has become an inevitable trend of industrial transformation and upgrading.In this context,what impact will digital input have on industrial total factor productivity? Through what mechanism does digital input affect industrial total factor productivity? These problems deserve our attention.Therefore,based on the provinces except Tibet,Hong Kong,Macao and Taiwan regions,industry as the research object,using the theory and empirical research method,systematically studied the digital influence on industrial total factor productivity,and the introduction of cost control and resource mismatch as intermediary variables,to further explore the influence of industrial digital input to the industrial total factor productivity.The main work and conclusions of this paper are as follows:(1)Theoretical analysis of the impact of digital input on industrial total factor productivity.This paper firstly sorted out the relevant literature on digitalization and total factor productivity,clarified the relevant concepts of digitalization and total factor productivity,and then analyzed the theoretical mechanism of digitalization input influencing industrial total factor productivity from the aspects of direct impact effect and mediating effect through model building and solving.With the continuous upgrading of digital technology and equipment,the production and operation management level of enterprises is constantly improved,and some unions in the industry are further defined,which will eventually improve the total factor productivity of the industry as a whole.In addition,in the process of industrial internal division of labor kept clearly,digital inputs,on the one hand,can reduce enterprise production costs and operation costs;on the other hand,can reduce the transaction costs between enterprises and enterprises,giving the overall market efficiency was improved,therefore,digital input can not only improve the total factor productivity of industrial as a whole,it can also improve the total factor productivity through the two mediating variables of cost control and the improvement of resource allocation efficiency.(2)Measurement of China’s industrial digital input and total factor productivity.Through conceptual analysis,this paper considers that industrial digitalization refers to the application of digital infrastructure and digital technology means in traditional industrial enterprises to improve the management and operation level of enterprises,and finally achieve the goal of reducing input factors and increasing output quantity and efficiency.As a result,by using the input-output method,this paper uses the input-output tables of all provinces and cities in China(except Tibet,Hong Kong,Macao and Taiwan)in 2007,2012 and 2017 to calculate industrial digital input,and makes up the digital level of the remaining years through the "assumption of equalization".The results show that there are great differences in the digital input level in different regions.China’s overall industrial digital input level is steadily increasing and the variance is shrinking.At the same time,this article through the DEA-Malmquist index model to calculate the provincial industrial total factor productivity,and break it down into the technological progress index.The index of technical efficiency,pure technical efficiency and scale efficiency index,the results show that different parts of the industrial total factor productivity is put in bigger difference,need further verification through subsequent empirical hypothesis.(3)Empirical test of the impact of digital input on industrial total factor productivity.In this paper,based on various provinces,cities and provinces in 2007-2020 panel data of the industrial industry,by constructing a fixed panel regression model analysis the digital input to the industrial total factor productivity and the effect of each index of the decomposed results show that the digital input to the industrial total factor productivity has significant positive role in promoting.Digital input increase 1unit,it can increase industrial total factor productivity by 0.09.After decomposition of the index,it is found that the promoting effect of digital input on the technical efficiency index is more obvious than that of technological progress index.The results of regional heterogeneity test show that the promotion effect of digital input on industrial total factor productivity in the central region is more obvious than that in the eastern and western regions.The results of the heterogeneity test of the degree of external dependence show that digital input has a more obvious positive promoting effect on the total factor productivity of the provinces with a low degree of external dependence.The results of infrastructure construction heterogeneity show that digital input has a stronger positive promoting effect on industrial total factor productivity in provinces with higher infrastructure construction degree.Finally,the empirical results after DEA-Malmquist index decomposition show that the positive promotion effect of digital investment on technical efficiency index is stronger than that on technological progress index.(4)The mediating effect test of cost control and resource allocation improvement.In this paper,the traditional stepwise method of mediating effect is improved by referring to the idea of Jiangting(2022).Combined with theoretical analysis,this paper selects two mediating variables,namely cost control and resource allocation efficiency,and tests their intrinsic mechanism of influence.The results showed that digital input has a significant inhibitory effect on industrial management costs,operating costs and financial costs,and can significantly improve the efficiency of resource allocation at the industrial level.The specific impact is that when the digital input increases by 1 unit,the industrial management cost decreases by 0.0067,the operating cost decreases by 0.0106,and the wealth cost decreases by 0.0039.When the digital input increases by 1 unit,the industrial resource mismatch efficiency decreases by 0.8415.In the end,on the basis of the above empirical results,this paper puts forward relevant policy suggestions.First of all,we should strengthen and expand the role of digital input in industry,give full play to the special role of digital input in promoting industry to realize network and intelligence,and build a new industrial division of labor mode.Secondly,we should strengthen the construction of infrastructure,especially the construction of the western region,specifically optimizing the industrial traditional infrastructure,building new infrastructure and digital platforms.Finally,the government should reasonably accelerate the promotion of enterprise digital transformation.The government and enterprises should not blindly over-invest in digital technology,but should pay more attention to the overall and systematic nature of enterprise digital transformation,and strengthen the overall coordination of digital investment and existing resources.