The Impact of Digital Economy on Regional Integration: A Case Study of the Yangtze River Delta

Abstract

Regional integration has been a critical factor in promoting economic development and reducing disparities among cities, especially in rapidly urbanizing regions. This paper explored the role of the digital economy in promoting regional integration within the Yangtze River Delta (YRD) by examining the impact of modern digital technologies, such as big data, cloud computing, and artificial intelligence, on urban economic collaboration. It identified key mechanisms through which digital technologies enhanced regional cooperation, including cost reduction, industrial agglomeration, and governance innovation. A comparative analysis of cities like Shanghai, Suzhou, and Hangzhou highlighted how advanced digital infrastructures and comprehensive policy frameworks fostered economic integration, while peripheral cities faced challenges due to policy gaps and underdeveloped digital infrastructure. The study emphasized the need for tailored strategies to address the unique characteristics of different urban clusters and the importance of governance coordination to facilitate smoother regional integration. Furthermore, this paper suggested that future policies should focus on scaling digital governance platforms, enhancing human capital development, and bridging environmental and industrial policies with digital tools to ensure sustainable and inclusive growth across the region.