Study On Green Total Factor Productivity And Transformation Of The Development Mode Of China’s Manufacturing Industries Based On Environmental Regulation

Since entering the period of accelerated industrialization, industry as the Chinese economy has made tremendous contributions. However, the data show that this development is in the price break to change the environment, waste of resources implemented. In order to change this pattern, we must explore how to achieve sustainable development of Chinese economy green.Firstly, this article calculates the pollution intensity of 27 manufacturing industries in China. According to the pollution intensity, the 27 manufacturing industries are divided into three groups named "light pollution industry", "moderate pollution industry" and "heavy polluting industries". Then, based on the investment, labor input, energy input, expected output and undesirable output data of 27 manufacturing industries from 2003 to 2014, we use the Malmquist-Luenberger(ML) productivity index to measure the Green TFP of 27 manufacturing industries in China. Based on estimates of the total factor productivity of green economic growth data in proportion to measure and evaluate the development of the manufacturing industry.The results show that: The geometric mean value of the ML index of most of the manufacturing industry in 2003-2014 is more than 1. It shows that the Green TFP of manufacturing industries in China is growing, indicating that the growth efficiency of the manufacturing industry in China has a trend of improvement. The result of grouping shows that the cleaner industry has better performance than the polluting industries. Environmental regulation can influence the transformation of the development mode of China’s manufacturing industry through the effect on the Green TFP, but there is a "threshold effect" of formal environmental regulation. In the whole industry, we can find that with the intensity of regulation from weak to strong, the formal environmental regulations will first discourage the development of the manufacturing industry, and then promote it, after that, the formal environmental regulations will discourage the development of the manufacturing industry again. Taken the three broad categories separately, we can find that the relationship between "light pollution industry", "moderate pollution industry" and the development of the manufacturing industry is "U" type. However the relationship between "heavy polluting industries" and the development of the manufacturing industry is inverted "U" type. In addition, whether from the view of whole industry or group, informal environmental regulation has significant positive driving effect on the development pattern of manufacturing industry.