Effect of digital economy on large-scale pig farming: An empirical study from China

Abstract

Large-scale farming is an important way for sustainable development of pig industry. In this regard, the digital economy has an important influence on the industrial structure and economic development, but whether it is conducive to large-scale pig farming (LSPF) needs further study. This study assesses the development level of the digital economy in 31 provinces of China and examines the transmission mechanism of the digital economy in LSPF. The results demonstrate that the digital economy can contribute both directly and indirectly to the LSPF through improved technological innovation, enhanced merchandise sales, and reduced labor costs of raising pigs. More importantly, the digital economy has a significant negative spatial spillover effect on LSPF; that is, it is not conducive to large-scale farming in neighboring localities. The results of the heterogeneity analysis further show that the digital economy is more significant for regions that have been identified as LSPF key and potential growth areas. The findings provide a reference for policymakers and professionals in emerging economies to facilitate the scale-up and sustainability of the pig industry.

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