Research On The Impact Of Trade Openness On China’s Provincial Digital Economy

The digital economy is a new type of economy.In recent years,China’s digital economy has developed rapidly.According to relevant statistics,as of 2019,the scale of China’s digital economy has reached 35.8 trillion yuan,an increase of 12.7 times compared with 2005.And the digital economy accounts for 36.2% of China’s GDP,which shows that the status of the digital economy in China’s national economy has become more prominent,and it has become an important engine for China’s economy to maintain sustained and stable growth.Since the outbreak of the COVID-19 in the world in 2019,the voice of anti-globalization has become more and more loud.Due to national security and other considerations,more and more countries have adopted more conservative trade methods,replacing global trade with regional cooperation,the trade openness of countries around the world has been greatly reduced.Therefore,to understand the internal connection and influence mechanism between trade openness and the development of the digital economy is conducive to the sustained and stable development of my country’s digital economy,which in turn injects impetus into my country’s economic development and realizes the basic stable development of my country’s economy.This thesis firstly summarizes the connotation and measurement of digital economy,the measurement of trade openness,and the relationship between trade openness and digital economy based on relevant research literature at home and abroad,and points out that the foreign trade dependence method is used as the measurement method of trade openness.Then this thesis analyzes the influencing factors of the development of the digital economy,the theoretical basis and mechanism of trade openness affecting the development of the digital economy.Then,this thesis analyzes the development status of China’s digital economy,and constructs an evaluation system for the digital economy from three dimensions: digital foundation,digital application,and digital development.And the entropy method was used to measure the digital economy development index(DEDI)of my country’s 30 provincial-level administrative regions(excluding Hong Kong,Macao,Taiwan,and Tibet)from 2013 to 2019,so as to measure the development level of my country’s digital economy.After that,in the empirical part,this thesis adopts the fixed effect regression model as the estimation model,takes trade openness as the core explanatory variable,the digital economy development index as the explained variable,and the technological innovation and the industrial structure optimization as mediating variables.At the same time,select the level of economic development,human capital level,government intervention,urbanization level,capital and the construction of free trade pilot zones as control variables to explore the impact of trade openness on the development of the digital economy.Finally,based on the relevant conclusions of this thesis,corresponding strategic suggestions are put forward to further promote the sustainable development of my country’s digital economy.The research conclusions of this thesis show that trade openness has a significant positive role in promoting the development of the digital economy.In this regard,China should actively take countermeasures to escort the development of China’s digital economy and enhance China’s economic strength when dealing with the current global economic downturn and the reduction of trade openness of various countries.On the one hand,China should expand the degree of trade openness in a timely manner,and at the same time strengthen international economic and trade cooperation with neighboring countries and other countries,improve each other’s trade openness on the premise of ensuring security,and provide impetus for the development of the digital economy.On the other hand,relevant government departments should optimize the business environment according to the regional advantages of different provinces,vigorously introduce foreign capital,absorb foreign advanced technology and management experience,and improve the quality of Chinese workers through technology spillovers and other means,and promote China’s digital economy to a higher level.