ECONOMIC DIGITALIZATION AND STRUCTURAL TRANSFORMATION TOWARD THE NATIONAL ECONOMY INCLUSIVE DEVELOPMENT
DOI:
https://doi.org/10.25313/economics-2026-3-107-36Keywords:
economic development, inclusive growth, digitalizationAbstract
Introduction. The accelerating diffusion of digital technologies is transforming the structural foundations of the national economies and redefining the mechanisms through which economic development, competitiveness, and social welfare are generated. In the contemporary global economic environment, economic digitalization has become a critical factor influencing productivity dynamics, innovation processes, institutional modernization, evolution of economic structures and inclusiveness provision. At the same time, increasing attention is being devoted to the concept of inclusive economic development, which emphasizes the need to ensure that economic progress generates broad-based benefits across society rather than concentrating gains within limited economic or social groups. The national economy inclusive development represents a multidimensional paradigm of economic progress that integrates sustainable growth, equitable distribution of opportunities, social participation, and balanced regional development. It emphasizes the creation of economic systems in which individuals, enterprises, and communities have fair access to productive resources, employment opportunities, financial services, education, and technological innovation. In recent years, digital transformation has emerged as one of the most influential drivers shaping the prospects for inclusive development.
Purpose. The purpose of the article is to substantiate the conceptual and practical role of economic digitalization and structural transformation as key drivers of inclusive national economic development in the context of contemporary technological and socio-economic change. Specifically, the article aims to develop and theoretically substantiate a comprehensive conceptual framework that explains the interdependence between digitalization processes, structural economic transformation, and national economy inclusive development outcomes.
Materials and methods. The methodological basis of the research is general scientific and specific methods of economic phenomena and processes cognition. Therefore, the following methods have been applied: monographic (while the recent research on economic digitalization and the national economy inclusive development study); abstract-logical (when Strategy Diamond of economic digitalization and structural transformation toward inclusive national economic development design); logical generalization (while the generalized strategic framework of economic digitalization and structural transformation toward inclusive national economic development creation); heuristic (when key scientific and research findings generalization and highlighting the future research area).
Results. The findings of the study demonstrate that economic digitalization significantly contributes to structural transformation and inclusive national economic development through several interconnected mechanisms. The research confirms that the integration of digital technologies into economic systems contributes not only to productivity growth and technological modernization but also to the expansion of economic participation, reduction of structural inequalities, and strengthening of socio-economic resilience. Digital transformation enhances productivity, stimulates innovation, and expands economic opportunities, while inclusive policy measures ensure that these benefits are distributed broadly across society.
The application of the Strategy Diamond conceptual framework allowed the to identify key strategic components necessary for successful digital-driven structural transformation, including strategic arenas of digitalization, implementation vehicles, competitive differentiators, staged development processes, and the economic logic underlying inclusive growth. The conceptual model integrating theoretical principles from endogenous growth theory, structural transformation theory, institutional economics, and digital economy theory. specification is designed to formally represent the structural relationship between economic digitalization and inclusive national economic development. The results underscore the importance of the integration of digitalization strategies with inclusive development policies represents a critical priority for national economic governance by aligning technological progress with social inclusion objectives, governments can create economic systems that are not only more productive and innovative but also more equitable, resilient, and sustainable in the long term.
Discussion. The conducted research confirms that economic digitalization, when effectively integrated with structural transformation policies and inclusive development strategies, can serve as a powerful driver of inclusive economic development, improved productivity, and broader population economic participation. One of the key implications of the research is that digitalization can significantly enhance economic inclusiveness by expanding access to markets, financial services, education, and public services. Further research should focus on empirical evaluation of the proposed conceptual framework through econometric modeling and comparative cross-country analysis.
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