Research On Impact Mechanism Of Enviromental Regulation On Manufacturing's Structure Upgrading

Since reform and opening up,China's economy has achieved sustainable fast growth with the process of industrialization.However,extensive economic growth mode has brought about a series of problems,such as rapid consumption of resources,low energy efficiency,etc.Adjusting and optimizing the industrial structure,especially the manufacturing' structure,is imminent.At the same time,the state strengthens the intensity of environmental regulation in order to protect and improve environment,which will inevitably exert a certain influence on the manufacturing's development.Domestic and foreign scholars have done a lot of researches on the impact of environmental regulation on the development of the manufacturing,but the researches focused on the manufacturing's FDI,production efficiency and technology innovation.Research on impact of environmental regulation on the manufacturing's structure upgrading is not much.Environmental regulation directly and indirectly affect the production costs of enterprises,technological innovation,FDI and other elements and their combination,which ultimately influences and forms the mechanism of manufacturing's structure adjustment and optimization.First of all,environmental regulation will increase the cost burden of enterprises,which may trigger negative "resource occupation" effect or positive "innovation compensation" effect,so the affecting is uncertain.Secondly,environmental regulation will theoretically lead to the gradual replacement of pollution-intensive industries by cleaner industries,which will exert positive influence on the manufacturing's structure upgrading.Also,environmental regulation will affect the manufacturing's structure upgrading through the impact of FDI,export and so on.Through building the manufacturing's industrial structure height(ISH)index,employing 1996-2013 years of manufacturing's data as well as 2009-2013 years of industry panel data,it constructs multiple linear regression model and Panel Data model respectively.The results showed that:Environmental regulation promotes the upgrading of manufacturing's inter-industry structure,constrains the upgrading of its intra-industry structure in the same time.The development of China's manufacturing is uneven from the east to west.Employing 2009-2013 years of manufacturing's data of China's eastern,central and western regions,the main influencing factors of the manufacturing's structure upgrading are analyzed.The conclusions are as following:Environmental regulation is the most important factor of the manufacturing's intra-industry structure upgrading in all the three regions,but environmental regulation in the central region cannot effectively affect its manufacturing's inter-industry structure upgrading.Using grey forecasting method,GM(1,1)model is built to predict the ISH of China's eastern,central and western regions.The results showed that:Among the three regions,the gap of manufacturing's intra-industry structure height will be further expanded,while the gap of manufacturing's inter-industry structure height will be gradually reduced.The theory of industrial structure upgrading and industrial practice in developed countries show that in the process of industrial upgrading,it presents a pollution-intensive industries,cleaner industries evolution.By estimating the intensity of environmental regulation,the manufacturing industry is divided into pollution-intensive industries and cleaner industries.And the manufacturing's "clean" height is constructed;it shows that China's manufacturing is more and more clean.Using GM(1,1)model to forecast,the results showed that:China's manufacturing's "clean" height and the intensity of environmental regulation shows the phenomenon of "price scissors".Seen from the conduction mechanism,a country's FDI,export and technological innovation will have a direct impact on its industrial structure.Using the panel data of 30 provinces of China,Data Panel model was built respectively and it showed that:FDI,export and technology innovation of the manufacturing is restricted by the increase of the intensity of environmental regulation,which will have a negative impact on the manufacturing's structure upgrading.Finally,it summarizes the practice of China and the policies of environmental regulation in the United States,Britain,Japan and Germany.And then it puts forward some countermeasures proposals.