Policy Incentives And Effect Of Environmental Technology Innovation On Industrial Enterprises In China

Since China’reform and opening up, the economy of China has attracted the worldwide attention, but it also has caused a series of problem to our country ecological environment which include environmental issues such as pollution resource scarcity. China’ economic and industrial development is the main driving force of the national economy, therefore, industrial economic development brought about environmental issues is a major part of China’ main city pollution. So, environment technology innovation into environment policy, which point out the direction for China’ industrial development and is one of the important policies to ease the contradiction between the industrial and economic development of our environment.The paper construct that the game model, which study the game relation between the government and enterprise of environmental technology innovation behavior under the government environmental regulation. On the environmental technology innovation, this paper analyzes the differences between the government and enterprises rational level, as well as differences between the two sides, which determine the choice of behavior. Through the research and analysis, we consider that the government can not only make the enterprise change environmental technology innovation level, but also change environmental pattern of asymmetric information by changing the incentive strategy. Doing in this way can be implemented environmental regulation technological innovation of Pareto optimality.Based on the theory of environmental technology innovation and environmental policy the paper has been elaborated. In addition, this paper builds a panel data model and uses 2006-2012 panel data of 30 provinces, cities and autonomous regions in our country. Environmental technology innovation of our country industrial is as the explained variable and by establishing the econometric mo-del for empirical research.Finally, paper on the results are summarized, at the same time, to our country industrial enterprise the environmental policy, environmental technology innovation put forward some relevant policy suggestions.In addition, the paper also provides effective reference for making industrial enterprise of incentive policies.