Digital Technology Empowers China’s Service Sector Growth: Mechanism and Implementation Path
Xia Jiechang*1 and Xiong Qiyan2
1 National Academy of Economic Strategy (NAES), the Chinese Academy of Social Sciences (CASS) , Beijing, China
2 School of Applied Economics, University of Chinese Academy of Social Sciences (UCASS)
Abstract: Digital technology is an instrument and vehicle for digital empowerment and the development of the digital economy. Digital applications in the service sector have spawned new business modes over recent years such as industrial internet platforms, new retail and online education, which have contributed to China’s service sector growth and transition. With the help of digital technology, the service sector has maintained rapid growth, improved in terms of structure, quality and efficiency, increased public welfare, and enhanced indigenous innovation. In light of inadequate and uneven progress of digitalization and insufficient factor support and government incentives, we suggest that the government further advance digitalization development across the board, bolster factor support, and enhance policymaking.
Keywords: Digital technologies, service sector, transition and upgrade
JEL Classification Code O11, O1
DOI: 10.19602/j.chinaeconomist.2022.11.02PDF Download