Whether the Development of the Digital Economy Reduces Market Segmentation: From the Dual Perspective of Regional Economic Linkages and Administrative Monopoly
Whether the Development of the Digital Economy Reduces Market Segmentation: From the Dual Perspective of Regional Economic Linkages and Administrative Monopoly
YUAN Shengchao1, LYU Cuicui2, ZHANG Shuai3
1. School of Economics/Economic Research Center of the Upper Yangtze River, Chongqing Technology and Business University, Chongqing 400067, China;
2. School of Economics and Management, Northwest University, Xi'an 710127, China;
3. School of Economics and Management, Chang'an University, Xi'an 710064, China
Abstract Under the background of the current implementation of the dual-cycle development strategy, the construction of a unified national market is an inevitable requirement to promote the domestic cycle. In theory, the vigorous development of the digital economy makes it possible to break the market segmentation between regions in China. From the dual perspective of regional economic relations and administrative monopoly, using diversified measurement methods, this paper empirically tests the effect and mechanism of digital economy development on market segmentation based on provincial panel data from 2006 to 2018. There are following findings. First, the development of digital economy helps to reduce market segmentation, which is still holds after dealing with endogenous problems and using dynamic panel GMM estimation. The impact of digital economic development on reducing the market segmentation has a long-term effect, and shows the characteristics of increasing marginal effect. Second, from a regional perspective, the effect of the digital economy on reducing market segmentation is significantly stronger in the central and western regions than that in the eastern regions, and slightly stronger in the southern regions than that in the northern regions. Third, the mechanism test confirms that the digital economy can reduce market segmentation by strengthening regional economic ties and weakening administrative monopoly. The conclusions not only help to clarify the relationship between digital economy and market segmentation in theory, but also provide ideas for breaking regional market segmentation and promoting regional market integration in practice.
YUAN Shengchao,LYU Cuicui,ZHANG Shuai. Whether the Development of the Digital Economy Reduces Market Segmentation: From the Dual Perspective of Regional Economic Linkages and Administrative Monopoly. Economic Survey, 2022, 39(6): 024.
2022, Vol. 39 
