The Impact of Digital Finance on Young Peoples Online Consumption

Based on data from the China Family Panel Studies (CFPS 2014-2018), Peking Universitys Digital Financial Inclusion Index, and the National Bureau of Statistics, this paper empirically examines how digital finance impacts online consumption among youth (aged 18-35) and its mechanisms. The study reveals that digital finance significantly boosts youth online consumption through enhanced payment convenience, credit accessibility, and expanded consumption scenarios. This effect is more pronounced in economically developed eastern regions, while weaker in central and western regions due to digital infrastructure gaps and financial exclusion, highlighting regional heterogeneity shaped by economic structures, digital literacy, and infrastructure development. Robustness tests using internet and mobile payment penetration rates confirm the findings, offering micro-level evidence for national strategies like "integrating the digital and real economies."