The Impact Of Environmental Regulation On Atmospheric Environment Total Factor Productivity

Since the reform and opening up of the industrial sector,the development of industry and other sectors has provided consistent power for the expansion of the Chinese economy.China has become the world’s second-largest economy contributing to more than 30% of global economic growth in GDP.However,extensive and rapid economic growth has caused serious air pollution and carbon emission and a serious increase in energy consumption.It has also brought about challenges in terms of preventing and control of air pollutants and carbon emissions.Therefore,addressing the aforementioned environmental problems through progress in ecological conservation and building a resource-saving through environmentfriendly economy remains a priority for the Chinese government.Actually,the Chinese central government has made certain attempts to set guidelines for reducing air pollution and has made significant progress.However,there is frequent heavy atmospheric pollution in the “2+26” cities in North China,having an extended area with the highest population,the largest concentration of industry,and the most significant air pollution in the country,controlling the emission of air pollutants in the North China region is exceedingly difficult.During the “14th Five-Year Plan” period,China will continue to drive the improvement of total factor productivity and low-carbon economic and industrial green development through technological innovation.Environmental regulation is an important starting point for promoting Industrial green transformation and improving atmospheric environmental quality,how to give full play to the positive guidance and “reverse forcing” role of environmental regulation on atmospheric environment total factor productivity,to enhance economic resilience,optimize resource allocation,improve the ecological environment,and enhance green innovation technology capabilities into the new development paradigm.China has introduced a series of different types of environmental regulation tools and policies;whether environmental regulation promote the improvement of total factor productivity of industrial atmospheric environment? And how does it affect the atmospheric environment total factor productivity? How do different types of environmental regulation tools perform?To explore the issues mentioned above,this study firstly,based on a literature review,explained the basic concepts of total factor productivity,environmental regulation and atmospheric environment total factor productivity,green industrial development,environmental externality theory,and government regulation theory,and provided some insights into the research results on environmental efficiency,the research results on environmental regulation,and the research results on the impact of environmental regulation on total factor productivity were sorted out,and the changes in atmospheric environmental policy of China over the years were reviewed,and comments were made on relevant research in this field.This study constructs a theoretical model of the impact of environmental regulation on atmospheric environment total factor productivity.It analyzes the current status and spatial distribution of industrial atmospheric pollutants and greenhouse gas emissions.This paper adopts data envelopment analysis,namely the bounded adjusted measure(BAM),to measure the atmospheric environmental efficiency,atmospheric environment total factor productivity and technical efficiency.The Luenberger productivity indicator is decomposed for the cities in“2+26” cities in North China and the extended area for 2003-2018.This study divides environmental regulation into the market-incentive type and command-and-control type.This study explores the impact of market-incentive environmental regulation on industrial atmospheric total factor productivity through the fixed-effect model,system GMM,and threshold regressive model,and the“Porter Hypothesis” theory has been verified.Taking Joint Air Pollution prevention and control as an environmental regulation experiment on changing regulatory stringency and using extensive panel data of “2+26” Cities and extended regions of north China for 2003-2018,this study identifies the productivity effects of this market-incentive environmental regulation by employing a difference-in-difference design.The results suggest that the marketincentive environmental regulation has exerted significant productivity-enhancing impact across the whole study area,which supports the “Porter Hypothesis” theory.Through the above research,the main conclusions of this study are as follows:(1)Industrial SO2 emissions,industrial dust emissions and industrial carbon emissions are an essential source of regional atmospheric environmental inefficiency.(2)Global Inefficiency(GIE)is differentiated,and it has great potential in reducing industrial energy consumption reducing air pollutants and carbon emissions in the future.(3)Atmospheric environment total factor productivity continued to grow,but there were significant differences in different cities.(4)Environmental regulation positively impacts the improvement of atmospheric environment total factor productivity,but there are obvious regional differences in this impact.(5)There are obvious regional differences and tool differences in the impact of environmental regulation on the atmospheric environment total factor productivity.Based on the conclusions above,this study brings some policy implications.Such as optimizing environmental rules and regulations,deepen collaborative governance the atmospheric environment,strengthening industrial technology innovation and transformation,accelerating related regulations and supporting improvement.