Abstract:
Purpose/Significance Using digital economy to increase farmers’ income is an important path to achieve rural revitalization and common prosperity of all people under the background of rapid development of digital economy. Design/Methodology Combining theoretical analysis with empirical research, based on the data of 240 prefecture level cities from 2011 to 2020, this paper explores the effect of digital economy on farmers’ income and its internal mechanism. Conclusions/Findings The development of digital economy can effectively increase farmers’ income, but there is an income increasing effect of “marginal decline”. Appropriate policies should be formulated according to the level of regional economic development. The income increase effect of the east and northeast is greater than that of the middle and west, and will also be affected by whether they are central cities and resource-based cities, so we need to make local policies give full play to the effectiveness of digital economy. The level of marketization is the “catalyst” for the digital economy to increase farmers’ income. The digital economy can improve farmers’ income by promoting marketization. In a word, we should make good use of the digital economy, take a ride on the rapid development of the digital economy, and then achieve the goal of increasing farmers’ income, rural revitalization and common prosperity.