Can digital technology remove impediments in the dual circulation?-An enterprise cycle efficiency perspective

Digital technology is an important tool to smooth the dual circulation. This paper empirically examines the impact of digital technology on the enterprise dual circulation and its mechanism based on the data of enterprises in ZGC from 2013 to 2019. It shows that digital technology can significantly promote enterprise dual circulation, and this conclusion still holds after a series of robustness tests. Mechanisms analyzed found that digital technology promotes enterprise dual circulation by unclogging blockages in the production, distribution, circulation, and consumption chain. Further research found that digital technology facilitates NSOEs more significantly than SOEs. Meanwhile, the application of e-commerce, big data, cloud computing, mobile Internet, Internet finance, and Internet of Things promote more obviously compared with intelligent hardware. This paper provides micro-empirical evidence that digital technologies smooth the dual circulation.