Digitalization means green? Linking the digital economy to environmental performance in the tourism industry

Considering that carbon emissions are one of the main causes of climate change, it is increasingly urgent to reduce CO₂ emissions from tourism. This study aims to scientifically assess whether the digital economy can mitigate the negative environmental effects of tourism. Based on a two-way fixed effects model for a global sample of 100 countries from 2003 to 2020, this study highlights the tourism-CO₂ emissions nexus is negatively moderated by the digital economy. Specifically, while tourism development results in increased CO₂ emissions, our research shows that the digital economy can mitigate this negative impact. Furthermore, heterogeneity analyses reveal that this moderating effect is particularly pronounced in high-income countries. This study provides valuable insights for policymakers in fostering the growth of the digital economy in support of sustainable tourism development.