The Impact Of The Digital Economy On Household Consumption

Digital economy is the main economic form after agricultural economy and industrial economy,with data resources as the key element,modern information network as the main carrier,and the integration and application of information and communication technology and the digital transformation of all factors as important driving forces to promote a new economic form with more unified fairness and efficiency.The development of the digital economy is fast,wide in radiation and deep in influence,which is promoting profound changes in production methods,lifestyles and governance methods,and China’s digital economy started late,but it does not affect the impact of the digital economy on China’s residents’ consumption.It mainly includes the following aspects: First,personalized services,the digital economy will help enterprises better understand the needs of each consumer,provide personalized products and services,and meet the different needs of different consumers.Second,consumption convenience,the combination of digital economy with logistics,payment and other fields,makes consumers’ shopping and payment more convenient and fast.Consumers can place orders online and query logistics information in real time,which is convenient to grasp their own consumption.Third,reduce costs,the popularity and efficiency of the digital economy may reduce the cost of goods or services,so that consumers can obtain high-quality products or services at lower prices.Fourth,enhance market transparency,the high integration and transparency of the digital economy,make the market information more open and transparent,people can more easily understand the price and quality of goods and services,promote market competition,and provide consumers with more choices.In short,the development of the digital economy will make the consumer industry more transparent and open,and get more personalized services,and consumers can feel a more convenient,fast and efficient consumer service experience.Therefore,it is of great research significance to study the impact of the development level of digital economy on household consumption.Based on the above background,this paper uses the entropy weight method to calculate the digital economy development index of 30 provinces,autonomous regions and municipalities directly under the Central Government(except for the lack of data in Tibet)from 2011 to 2020.By constructing a panel vector autoregressive model,the direct impact of digital economy on residents’ consumption level is studied,and then the intermediary model is constructed by income level,price index and industrial advanced index respectively to study the indirect impact of digital economy on household consumption,and finally the threshold model is constructed with per capita income level as the threshold variable to explore the nonlinear impact of digital economy on household consumption.Based on the above background,this article uses the entropy weight method to calculate the digital economy development index of 30 provinces,autonomous regions,and municipalities in China from 2010 to 2020 based on previous research;By constructing a panel autoregressive model to study the direct impact of the digital economy on household consumption,and then constructing an intermediary model to study the indirect impact of the digital economy on household consumption using income levels,price indexes,and industrial upgrading indexes,respectively.Finally,using the per capita income level as a threshold variable,a threshold model is constructed to explore the non-linear impact of the digital economy on household consumption.The research finds that:(1)The development of the digital economy can promote the improvement of residents’ consumption level,with small short-term impact and large long-term impact.(2)The digital economy has a mediating effect on household consumption,and both the price index and the industrial upgrading index exhibit a complete mediating effect.(3)The digital economy has a significant threshold effect on household consumption.When per capita income exceeds the threshold,the promotion role of the digital economy will be greatly strengthened.Therefore,guiding the development of the digital economy and providing diversified digital services for different income groups is conducive to improving residents’ consumption,stimulating domestic demand,promoting supply side reform,and promoting high-quality economic and social development.