Toward Economic Recovery: Can Industrial Intelligence Improve Total Factor Productivity?

Promoting economic recovery is crucial for achieving sustainable economic development. The development of industrial intelligence (INI) plays an important role in economic recovery. Based on the panel data of 30 regions in China from 2007 to 2018, this paper constructs multidimensional indicators and empirically estimates the impact of INI on total factor productivity (TFP). The findings are as follows: (1) INI significantly improves TFP, which is still valid after a series of robustness tests. (2) INI affects TFP through impact mechanisms of knowledge spillover effect (KSP), cost-saving effect (COS), and factor allocation optimization effect (FAL). This paper has offered new research perspectives in the field of INI, contributing to corresponding policy implications and adjustments.