DIGITAL-REAL INTEGRATION, RESIDENT WELFARE, AND MICRO-LEVEL EVIDENCE: AN EMPIRICAL STUDY USING CHINA FAMILY PANEL SURVEYS

While digital-physical integration has significantly propelled economic and social development, scant rigorous evidence exists on its welfare-enhancing effects. Leveraging nationally representative data from the China Family Panel Studies (CFPS), this research constructs scientifically measured indices for digital-real economy integration and resident well-being to empirically examine their causal linkages. Quantitative analysis reveals two pivotal findings: (1) Statistically significant core effects. Digital-physical integration development exerts a robust positive impact on resident well-being. Baseline regression results unequivocally demonstrate that enhanced integration levels substantially improve well-being. This core conclusion remains robust after addressing potential endogeneity concerns and passing multiple rigorous tests. (2) Clearly defined mechanism pathways. Mediation analysis further identifies employment opportunity creation as the primary channel. Rather than directly affecting well-being, digital-physical integration operates primarily through generating and expanding employment opportunities—serving as the key mediating pathway that effectively elevates resident welfare levels.