Environmental Regulation, Government Subsidies, and Green Technology Innovation—A Provincial Panel Data Analysis from China

Bibliographic Data

ID15467669
AuthorsWang Pei (0000-0003-3340-352X, China University of Petroleum, Beijing), Pei Wang (0000-0002-5043-8460, China University of Petroleum, Beijing), Cong Dong (0000-0002-7385-6825, University of International Business and Economics, corresponding author), Nan Chen (0000-0001-8454-079X, China University of Petroleum, Beijing), Ming Qi (0000-0001-9880-5349, China University of Petroleum, Beijing), Shucheng Yang (0000-0003-4186-5310, China University of Petroleum, Beijing), Amuji Bridget Nnenna (0000-0001-6430-6058, China University of Petroleum, Beijing), Wenxin Li (0000-0002-6730-2308, China University of Petroleum, Beijing)
Year2021
Volume18
Issue22
Pages11991-11991
Publication date2021-11-15
Peer ReviewedYes
Open AccessYes
TypeARTICLE
VenueInternational Journal of Environmental Research and Public Health (JOURNAL)
Journal identifiersISSN: 1661-7827 • E-ISSN: 1660-4601
PublisherMultidisciplinary Digital Publishing Institute (PUBLISHER • CH)
DOI10.3390/ijerph182211991
PMID34831753
OpenAlexW3211545011
LanguageEN
Citations received18
References cited66

Economic development in the "new era" will require green innovation. To encourage the growth of green technology innovation, it has become fashionable to strengthen environmental regulation. However, the impact of environmental regulation on green technology innovation, as well as the role of government subsidies, needs to be examined. Utilizing fixed-effect models and 2SLS models to explore the impact of environmental regulation on green technology innovation in China from 2003 to 2017, this research sought to examine whether environmental regulations impact green technology innovation, as well as the role of government subsidies in the above-mentioned influence path. The findings support the Porter Hypothesis by demonstrating an inverted "U" relationship between environmental regulation and green technology innovation. The impact of environmental regulation on green technology innovation varies by region. To be specific, there is an inverted "U" relationship between environmental regulation and green technology innovation in China's central and central coast regions. In comparison, the north area, southern coast, and southwest region exhibit a "U" relationship between the two. The relationship is not significant in the Beijing-Tianjin region. Additionally, government subsidies act as an intermediate in this process, positively influencing firms to pursue green technology innovation during the earliest stages of environmental regulation strengthening. However, government subsidies above a certain level are unproductive and should be used appropriately and phased off in due course

Beijing · Business · China · Economics · Environmental regulation · Government (linguistics · Green development · Green growth · Green innovation · Industrial organization · Market economy · Natural resource economics · Panel data · Political science · Subsidy · Sustainable development · Energy, Environment, and Transportation Policies · Energy, Environment, Economic Growth · Environmental Impact and Sustainability · Ecology

Tools

Open DOIOpen Access