Can Linguistic Big Data Empower the Digital Economy? Evidence from China

Economic Analysis and Policy, 2024, Vol. 84, 1771-1787

37 Pages Posted: 13 Dec 2024 Last revised: 8 Dec 2024

See all articles by Mengjun Xie

Mengjun Xie

Shandong University of Technology

Chengping Zhang

George Fox University

Date Written: August 30, 2024

Abstract

The paper develops a theoretical framework and provides empirical evidence to illuminate the impact of linguistic big data on shaping the digital economy. Using a value-added accounting method, we quantify the scale of the digital economy and develop an econometric model to empirically evaluate its growth driven by linguistic big data. Our findings highlight the pivotal role of linguistic big data in mitigating resource mismatches caused by information asymmetry, enhancing the efficiency of supply-demand dynamics in online trading markets, and expanding the transactional reach of the digital economy. Furthermore, our analysis reveals notable heterogeneity in the impact of linguistic big data across different regions and sectors. Specifically, its influence is more pronounced in eastern China and has a greater effect on digital industrialization compared to industrial digitalization. Additionally, its impact on the digital service industry is more substantial than the impact on digital manufacturing sector. This study carries important implications and offers valuable policy insights for fostering the advancement of the digital economy. These insights can inform strategic initiatives that leverage linguistic big data to drive the growth of the digital economy.

Keywords: Digital economy, Linguistic big data, Data factor, High-quality development, Matching efficiency

Suggested Citation

Xie, Mengjun and Zhang, Chengping, Can Linguistic Big Data Empower the Digital Economy? Evidence from China (August 30, 2024). Economic Analysis and Policy, 2024, Vol. 84, 1771-1787, Available at SSRN: https://ssrn.com/abstract=5048052 or http://dx.doi.org/10.2139/ssrn.5048052

Mengjun Xie

Shandong University of Technology ( email )

No: 88, Gongqingtuan west road
No. 88 Gongqingtuan Road
Zibo, Shandong Province 255012
China

Chengping Zhang (Contact Author)

George Fox University ( email )

414 N. Meridian Street
Newberg, OR 97132
United States

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
9
Abstract Views
43
PlumX Metrics