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February 5, 2026Journal of theoretical and applied electronic commerce research0 citationsOpen Access

The Sword Effect of Electronic Informatization on Income Inequality: E-Commerce and E-Government

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ZLZhuocheng LuSWSong Wang

Key Points

  • This research investigates the impact of e-commerce and e-government on regional income inequality and their mechanisms.
  • Analyzed the effects of e-commerce and e-government on income inequality
  • Conducted endogeneity and robustness tests
  • Examined spatial characteristics and patterns related to income inequality
  • E-commerce exacerbates income inequality through industrial agglomeration and resource misallocation.
  • E-government reduces income inequality by improving fiscal transparency.
  • Variability in effects observed based on regional and geographical factors.

Abstract

Market and government are the main bodies in solving the problem of income inequality, especially as both undergo electronic informatization. This study explores the effect of e-commerce and e-government on regional income inequality, along with its impact mechanisms and spatial characteristics. The results show a significant “sword effect” impact: e-commerce exacerbates income inequality, while e-government suppresses it. This conclusion remains valid after endogeneity and robustness tests. Mechanistically, e-commerce widens the gap by promoting industrial agglomeration and worsening resource misallocation, while e-government narrows it by enhancing fiscal transparency and alleviating resource misallocation. Spatially, all three variables exhibit spatial correlation and β-convergence; e-commerce and income inequality show α-divergence, while e-government shows α-convergence. E-commerce presents a negative spatial spillover of “aggravating local inequality but suppressing adjacent regional inequality,” while e-government’s inhibitory effect is limited to local cities. Their impacts show significant heterogeneity across regional gradients and geographical locations, providing a basis for differentiated policy implications.

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Cite This Study

Lu et al. (2026) studied this question.

synapsesocial.com/papers/6984358ff1d9ada3c1fb4897https://doi.org/10.3390/jtaer21020056
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