Digital Economy, Technical Innovation and China’s Green Total Factor Productivity Growth

Abstract

This study investigates the impact of the digital economy (DE) on green total factor productivity (GTFP) and its transmission mechanism. Using panel data from 256 cities in China from 2009 to 2020, the study examines a directional distance function and the Malmquist–Luenberger productivity index to estimate the GTFP growth and constructs an ordinary least squares model to explore the impact effect and mechanism. Three findings are drawn from the estimation results: (1) The DE has significantly promoted GTFP. (2) Technological innovation has significantly aided in the promotion of GTFP. (3) By encouraging technological innovation, the DE further enhances the promotion of GTFP, verifying the DE → technology innovation → green conduction mechanism of total factor productivity.