Digital Infrastructure, Relative Deprivation of Household Income, and Inclusive Development

Against the backdrop of the rapid development of the digital economy, an important practical issue is whether the " equality of opportunity " in digital infrastructure construction can promote income distribution equity. Based on the "universal telecommunications service " pilot, this paper employs a staggered difference-in-differences approach to examine the income distribution effects of inclusive digital infrastructure construction and its underlying mechanisms. Empirical results show that, after controlling for other variables, the income gap among households in pilot areas significantly decreased compared to non-pilot areas following policy implementation. This paper further explores the income distribution effects and finds that the policy promotes a more balanced evolution of income distribution by increasing the income of low-income groups and curbing the marginal expansion of high-income groups, thereby achieving inclusive growth. Mechanism tests reveal that the policy exerts income redistribution effects by enhancing urban network penetration and digital innovation capabilities. Additionally, from a dynamic perspective, the policy enhances income mobility for low-income households, helping them escape the "poverty trap". At the city level, the policy significantly reduces urban unemployment, reflecting structural improvements in the labor market. This study provides empirical evidence and policy insights for the income distribution effects of bridging the digital access divide.