Mechanisms and Heterogeneity of the Impact of Digital Economy on Total Factor Productivity in Manufacturing Based on DEA-Malmquist Method

Abstract

Based on provincial panel data of 30 provinces from 2013-2019, this paper measures the total factor productivity of China's manufacturing industry using the DEA-Malmquist method, and also employs the generalized least squares (GLS) method to study the impact of the digital economy on total factor productivity in manufacturing. The study finds that the digital economy can promote manufacturing productivity growth, and this growth is driven by technological progress, and at the same time, the digital economy can enhance manufacturing productivity by improving technological innovation and resource allocation efficiency. From different dimensions of the digital economy, the infrastructure of the digital economy, the industrialization of the digital economy and the intelligentization of the industry can significantly contribute to manufacturing productivity.