CLOSING THE URBAN-RURAL EARNINGS DIVIDE: IMPACTS OF THE DIGITAL ECONOMY AND INDUSTRIAL ADVANCEMENT

Abstract

China's rapid economic development has led to increasing urban-rural income disparity, highlighting the need for policies addressing this issue. The emergence of the digital economy, driven by technology and information resources, has played a pivotal role in economic growth. As the digital economy extends its reach to various sectors, including rural areas and traditional industries, it has become a catalyst for innovation and industrial upgrading, presenting new opportunities for urban and rural development. In this era of deep digitalization, the integration of digital technologies into industrial production, resource allocation, and information dissemination is gaining significance. This paper examines the impact of deepening digitalization and industrial restructuring on income disparity between urban and rural residents. It explores strategies to narrow this income gap through industrial upgrading and digital development.