How Does the Digital Village Construction Affect the Urban–Rural Income Gap: Empirical Evidence from China

Digital rural construction (DRC), as a crucial intersection of the rural revitalization strategy and the construction of Digital China, is a key path to addressing the imbalance and inadequacy in the urban–rural income gap (URIG). Based on provincial panel data from 2011 to 2023, this paper systematically examines the relationship and mechanism of action between the two using an econometric model. This study finds that DRC significantly reduces the URIG overall, and this effect is achieved through increasing urbanization levels, accelerating employment, and promoting social consumption. Spatial effect tests indicate that DRC has a spatial spillover effect; construction in one province reduces the URIG in neighboring provinces. Further research shows that, against the backdrop of human capital level acting as a threshold variable, the effect of DRC on the URIG exhibits an inverted “U”-shaped characteristic, first increasing and then decreasing. Therefore, this paper proposes countermeasures and suggestions, including constructing a digital-enabled urban–rural integration mechanism, promoting cross-regional coordinated development of DRC, and implementing a tiered and categorized digital literacy improvement project.