Effect Of Industrial Upgrading And Urbanization On Environmental Pollution

30 years of reform and opening up in China is also the 30 years of China's rapid industrial development Almough remarkable achievements have been made in the economic sphere, our ecological environment has paid a heavy price. From the history of Industrialization process of all countries in the world and development status' perspective,it has a close relationship between the industrial structure and environmental quality.Meanwhile, the industrial reforms promoted the rapid development of urbanization. However, The impact of urbanization on the quality of the environment is multifaceted. Therefore, this paper mainly studies how China's industrial structure and urbanization impact on environmental pollutio.This paper firstly reviews the theory of the evolution of the industrial structure, the theory ofinigration and urbanization, and the theory of the relationship between industrial structure and urbanization.And according to the domestic and foreign scholars' studies about the impact of the industrial structure and urbanization on environmental pollution,make the corresponding influence mechanism analysis and theoretical hypothesis. Then, using the econometric methods for data analysis validate the hypothesis is correct or not.We established a fixed effect model or a random effect model for panel data of 30 provinces, municipalities or autonomous regions in China during 2004-2010.The foreign investment and government environmental regulation as control variables join into the model.Finally using the Generalized Mothod of Moments model verified its stability.Conclusions are drawn as follows:Firstly, The proportion of secondary industry increases will aggravate environmental pollution and the third industry increase will help improve the environment quality.Secondly, The higher the urbanization rate can effectively curb environmental pollution;Thirdly, Foreign direct investment can help for China to introduce advanced production technology and production standards of environmental protection, reducing pollution emissions;fourthly, Government regulation of environmental pollution will not achieve binding effect but will also exacerbate the degree of pollution.We got the following policy implications from the research resultsin order to accelerate the upgrading of industrial structure, We should reduce the proportion of secondary industry and increase the proportion of the tertiary industry.And optimize the industrial structure of the second industry,reducing heavy industry of raw materials, developing high-tech industry.Accelerate the process of urbanization and develop the recycling-saving new town.Use the preferential subsidies policy to attract foreign investment in China.Strengthen the supervision of law enforcement efforts to ensure that environmental laws in place.