Advances in Management and Applied Economics

Analysis of Pollution Industrial Transfer Based on Environmental Regulation and Public Participation: China’s Case

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  • Abstract

    Referring to 1995-2011 China's provincial panel data, this paper constructs an econometric model consisting of environmental regulation, public participation and pollution industrial transfer, and mainly focuses on the role of environmental regulation and public participation in the pollution industries transfer using panel data unit root test, co-integration test, granger causality test and panel regression analysis method. The results show that environmental regulation and public participation play an obvious role in promoting the pollution industries transfer both in the long-term and in the short-term. However, their influencing strength varies. The effect from environmental regulation is stronger, while public participation has a comparatively weak effect on the pollution transfer.