The spatial effects and influencing mechanism of digital infrastructure on urban-rural industrial integration in China

Abstract

Digital infrastructure (DI) and urban-rural industrial integration (URII) are crucial for promoting economic efficiency and balanced regional development. However, the mechanism by which DI affects URII remains unclear, potentially leading to inefficient resource allocation, reduced innovation capacity and unequal regional development. Consequently, utilizing panel data from 290 cities in China for the period 2000–2023, this study applies the static and dynamic spatial Durbin model (SDM) to investigate the mechanisms of DI’s spatial effects on URII within China. The results show that from 2000 to 2023, both DI and URII witnessed upward trends, yet their spatial development exhibited an increasingly distinct “eastern leadership—central chasing—western potential” tiered pattern. The dynamic SDM confirms that DI affects not only local URII but also influences URII in surrounding cities through spatial spillover effects rooted in geographical proximity and economic connectivity. Additionally, mechanism tests reveal that DI indirectly affects URII through the diffusion of technological innovation, human capital accumulation, and financial resource optimization, with technological diffusion having the most significant effect. These results offer new perspectives on improving URII and the construction tactics of DI, and provide theoretical frameworks for achieving digital development in China.