Does the digital economy realize the synergistic reduction of pollution and carbon emissions in China? From the perspective of the local neighborhood effects

Abstract We utilize panel data of 285 prefecture-level cities in China and establish a spatial Durbin model (SDM) to evaluate the impact of digital economy (DE) on the synergistic reduction of pollution and carbon emission (SRPCE). The results show that DE has a significant inverted U-shaped effect on the local neighborhood SRPCE and this effect has regional heterogeneity. Moreover, green innovation partially mediates the effect of DE on the local neighborhood SRPCE. A certain level of higher education is required for positive moderation to work, and green innovation has a mediating function in it.