The Tensions between Notions of “Physical” and “Digital” Space in Regional Development

Abstract

In this increasingly interconnected world, online and offline spaces interact and influence each other, creating new economic geographies and affecting the balance of socio-economic development of different regions. The interaction between physical and digital environments has significant implications for regional growth, social equity and environmental sustainability. This article outlines a theoretical framework and discusses the economic impacts, social equity and community dynamics, environmental impacts of the twin transitions and governance and policy challenges. The findings of this study reveal the need for a balanced development strategy that uses both physical and digital spaces to achieve equitable and sustainable regional development and concludes with several policy recommendations for an integrative approach, including investing in digital infrastructure while promoting digital literacy, supporting local identities in adopting green technologies and encouraging collaboration among stakeholders to modernize regional development, by building inclusive ecosystems that promote sustainable development.