How can the construction of social credit system in the context of digitalization empower grassroots governance? A Case Study of "Moral Bank" in Yuyao City, Zhejiang Province

Abstract

As President of PRC Xi Jinping mentioned, "if the grassroots is strong, the country is strong, and if the grassroots is safe, the world is safe." Social credit system is an important part of socialist market economy system and social governance system, and it is also a basic project for modernization of national governance system and governance capacity. Both conceptually and institutionally, the social credit system is closely related to social governance. Digitalization has reshaped the development trend of economy and society, and also profoundly influenced the operation basis of social credit system. Promoting the transformation of social credit system in the context of digitalization will promote the integration and development of digital economy and social credit system construction, thus making social governance highlight higher value. Based on the systemic and dynamic characteristics of credit system construction for grassroots governance in the digital context, this paper focuses on the changes in the governance mechanism through which the credit system contributes to the modernization of grassroots governance under the digital transformation. Drawing on existing studies, we construct a whole process analysis framework of "structure-process-function" to explore the internal logic of Yuyao Moral Bank's digital credit system construction and grassroots governance through three dimensions: structural reorganization from loose and fragile to stable as a whole, process innovation from fragmentation to synergy, and functional improvement from rough imbalance to fine co-governance. Through the case analysis of Yuyao "moral bank", we have come up with three thoughts on the need to build the incentive mechanism of grassroots governance system, promote multi-dimensional cooperation and build the linkage mechanism between credit system and grassroots governance in the context of digitalization in the construction of digital credit system to empower grassroots governance.