An Empirical Study on the Impact of the Digital Economy on the Urban–Rural Income Gap in Guangdong Province

The rapid expansion of the digital economy has profoundly transformed numerous facets of economic and social life. A key question for balanced regional growth is whether digital economy can effectively reduce the urban–rural income gap. Using panel data from Guangdong's prefecture-level cities (2010–2022), this study investigates both the impact and the channels through which digitalization affects that gap. Our empirical findings indicate that higher levels of digital development significantly narrow the urban–rural income disparity-especially in areas where the urbanization rate is below 50%—while the effect is more muted elsewhere. These results underscore the need to expand rural digital infrastructure and promote the adoption of digital technologies in less developed regions.