Digital Economy Development and Green Total Factor Productivity: Evidence from the Yangtze River Delta Region

Achieving a balance between economic expansion and environmental preservation is a core challenge of sustainable development. Based on panel data from 41 cities in the Yangtze River Delta region from 2006 to 2023, this study develops a digital economy index, measures GTFP using the SBM-GML framework, and examines the relationship between digital economy development and GTFP. The results show that digital economy development is positively associated with GTFP, and the findings remain robust after a series of robustness and endogeneity tests. Further moderating analysis indicates that industrial structure rationalization, industrial structure advancement, green innovation, and ecological compensation policy strengthen the relationship between digital economy development and GTFP. Heterogeneity analysis shows that this relationship is stronger in high-tier cities, highly urbanized cities, and Broadband China demonstration cities. Spatial analysis further suggests that digital economy development may generate spillover effects through intercity linkages within the Yangtze River Delta. By integrating digital transformation, ecological governance, regional interdependence, and green productivity improvement into a unified analytical framework, this study provides city-level evidence for promoting coordinated green transformation and sustainable regional development.

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Journal
Sustainability
Published
2026-07-26
DOI
https://doi.org/10.3390/su18157601
Primary Topic
Energy, Environment, Economic Growth
Type
article
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article

Digital Economy Development and Green Total Factor Productivity: Evidence from the Yangtze River Delta Region

Changgao Cheng, Mengqi Sun, Jun Ma
Sustainability
Energy, Environment, Economic Growth
article

Digital Economy Development and Green Total Factor Productivity: Evidence from the Yangtze River Delta Region

Changgao Cheng, Mengqi Sun, Jun Ma
article en

Abstract

Achieving a balance between economic expansion and environmental preservation is a core challenge of sustainable development. Based on panel data from 41 cities in the Yangtze River Delta region from 2006 to 2023, this study develops a digital economy index, measures GTFP using the SBM-GML framework, and examines the relationship between digital economy development and GTFP. The results show that digital economy development is positively associated with GTFP, and the findings remain robust after a series of robustness and endogeneity tests. Further moderating analysis indicates that industrial structure rationalization, industrial structure advancement, green innovation, and ecological compensation policy strengthen the relationship between digital economy development and GTFP. Heterogeneity analysis shows that this relationship is stronger in high-tier cities, highly urbanized cities, and Broadband China demonstration cities. Spatial analysis further suggests that digital economy development may generate spillover effects through intercity linkages within the Yangtze River Delta. By integrating digital transformation, ecological governance, regional interdependence, and green productivity improvement into a unified analytical framework, this study provides city-level evidence for promoting coordinated green transformation and sustainable regional development.

SustainabilityVol. 18(15)
Hohai University (CN)
Sustainable cities and communities
Openalex Percentile: Top 4%
Energy, Environment, Economic Growth
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Digital Economy Development and Green Total Factor Productivity: Evidence from the Yangtze River Delta Region — Changgao Cheng, Mengqi Sun, et al. · Sustainability (2026) | TGRS Research Map | TGRS