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学术期刊
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Technological Innovation and Science Management (TISM) October 2025 ,Vol. 1, No. 3
Grassroots Practices and Challenges of Digital Technology Empowering the Modernization of Social Governance
Ziyang Bu
Fuzhou Software Technology Vocational College, Fuzhou, Fujian 350211, China
From an economic perspective, this paper systematically analyzes the intrinsic economic mechanisms, practical models, and core challenges of digital technology empowering grassroots social governance. The article first explains how digital governance improves economic efficiency by reducing transaction costs, optimizing resource allocation, and serving as a new type of public good. Subsequently, a cost-benefit comparative analysis of three typical grassroots practice models—Hangzhou’s “City Brain,” Shanghai’s “One-Stop Online Services,” and “Grid-based Management”—reveals the economic impacts of different paths. The study finds that although digital governance has achieved significant results in improving public service efficiency and stimulating economic vitality, it is also accompanied by severe economic frictions and market failures. These are mainly manifested as the “digital divide” exacerbating economic inequality, the negative externalities of data security and the erosion of public trust capital, and the systemic misallocation of social resources caused by algorithmic bias. To construct a sustainable economic framework for digital governance, this paper proposes establishing governance rules for the data element market, implementing targeted economic incentives to bridge the digital divide, and promoting the Social Return on Investment (SROI) evaluation system to achieve a comprehensive measurement of social value.
Fuzhou Software Technology Vocational College, Fuzhou, Fujian 350211, China
