Research On The Impact Of Digital Economy On Provincial Participation In Domestic And International Value Chains Under The Background Of Double Circulation

The spread of the new crown pneumonia epidemic has made the world economy,which was already underdeveloped,even more sluggish.Unstable factors such as trade protectionism,trade frictions,and geopolitical conflicts have accelerated,which poses a great threat to the stability and security of China’s industrial and supply chains..At present,China is in a critical period of economic restructuring.China’s economy has shifted from focusing on "quantity" accumulation to focusing on "quality" changes,from focusing on efficiency to paying more attention to fairness.In order to better respond to changes in the international situation and ensure domestic For the high-quality development of the economy,General Secretary Xi Jinping proposed to build a new development pattern with the domestic cycle as the main body and the domestic and international dual cycles.Building a new development pattern of "dual cycles" requires us to coordinate domestic and foreign resources while focusing on stimulating domestic demand,that is,to base ourselves on the domestic market,give full play to the innovation-driven role of emerging economic models such as the digital economy,and stimulate the vitality and potential of the domestic market.It is also necessary to participate in the global division of labor with a more active attitude and build a high-level opening-up pattern.Therefore,discussing the impact of the digital economy on provinces’ participation in domestic and international value chains can better understand and build a dual-cycle development pattern.As an important part of the dual cycle,the degree of participation in the domestic and international value chains can well reflect the provinces’ participation in the domestic cycle and the international cycle,and the rapid development of the digital economy provides a more efficient and efficient way for provinces to participate in domestic and international value chains lower cost path.However,the current research on the impact of the digital economy on the value chain is mostly concentrated in the field of the global value chain,and the research on the impact on the domestic value chain is insufficient,and most of them are discussed from the perspective of the relationship between the domestic value chain and the global value chain or product export and regional integration.,seldom explore its impact on provinces’ participation in domestic and international value chains from the perspective of digital economy.In view of the above situation,this paper adopts the method of combining theory and demonstration,and decomposes the added value of exports of 30 provinces and cities in China according to the input-output tables of China’s regions in 2007,2012,2015 and2017,thus measuring the degree of participation of each province in dual value,and measuring the level of digital economy development at the provincial level in China.Taking the two as the research objects,the mechanism and path of the influence of the digital economy on the participation of provinces in domestic and international value chains by the digital economy were examined through empirical analysis,and the following conclusions were obtained:First,There is a large gap in the degree of embedding of participating double chains among provinces in China,and regional development is not coordinated.The degree of participation in domestic value chains in the central and western regions is higher than that of international value chains,relying on inward-looking economic development,while the eastern region is the opposite,indicating that it relies on export-oriented economic development.Second,The development level of the digital economy in various provinces in my country is constantly improving,but the problem of uncoordinated regional development still exists.The growth rate of the digital economy in the central and western regions is higher than that in the eastern region,but there is still a big gap in the scale of digital economy development compared with the eastern region.Third,The digital economy can promote the degree to which provinces are embedded in domestic and international value chains,and due to the national information barrier,the promotion effect on domestic value chain is more significant;but innovation effects and new economic paradigms and business model effects are more significant for provinces to participate in domestic value chains.The above analysis helps to grasp the current differences between provinces participating in the domestic circulation and international circulation,and better leverage the digital economy’s role in empowering provinces to participate in the dual value chain,thereby providing a beneficial environment for China to achieve high-quality economic development in the context of dual circulation.