Impact of digitization on green economic recovery: an empirical evidence from China

To improve the effectiveness of urban green innovation, digitalization has become increasingly vital in the framework of the period of energy and digital transformation, permitting the "dual carbon" aim. In this article, the influence of information and communication technology on green economic recovery in China's cities is explored in a novel way. This research examines the direct impact, mediating effect, nonlinear connection, and geographical and development disparities of ICT growth on green economic recovery using panel data from China's 216 prefecture-level cities from 2010 to 2019. In addition to regional and urban variation in green innovation performance, this study demonstrated that technology transformation greatly enhanced the level of entrepreneurial orientation after accounting for carbon dioxide emissions from energy consumption. A new dynamic threshold model illustrates how the influence of information technology growth on green economic recovery changes depending on the degree of resource imbalance. Research shows that digitalization has a beneficial effect on technological development and that tech development has a favorable impact on green innovation performance. As a result, technical innovation serves as a bridge between digitalization and green innovation. The influence of digitization on the implementation of sustainable performance might be moderated by different exposure to environmental regulations.