An Empirical Study of Environmental Regulation Impact on China's Industrial Total Factor Energy Efficiency: Based on the Data of 30 Provinces from 2003 to 2016

Abstract

Abstract:

Environmental pollution has contributed to the emergence of environmental regulation and there is a close correlation between environmental pollution and energy consumption. This paper mainly explores how environmental regulation affects industrial total factor energy efficiency in China. Based on the provincial panel data of China, the industrial total factor energy efficiency in various regions of China is calculated by using super-efficient SBM model, then the static panel estimation and SYS-GMM dynamic panel estimation methods are applied for further empirical tests. The results show that the overall industrial total factor energy efficiency is relatively low in China. There is a U-shaped relationship between the environmental regulation and industrial total factor energy efficiency. The weak environmental regulation is not conducive to the improvement of the industrial total factor energy efficiency. However, when the intensity of environmental regulation increases to a certain extent or, in other words, crosses the inflection point, the industrial total factor energy efficiency can be promoted.

Key words: environmental regulation, industrial total factor energy efficiency, environment pollution, U-shaped relationship, SYS-GMM method

Li Ying, Xu Xiaofeng, Zheng Yue. An Empirical Study of Environmental Regulation Impact on China's Industrial Total Factor Energy Efficiency: Based on the Data of 30 Provinces from 2003 to 2016[J]. , 2019, 31(12): 40-48.

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