Does Trade Of Polluted Industries Lead To A “Race To The Bottom” In Environmental Regulation?

Environmental issues continue to "win" the world's attention, international trade as an important economic activity in the world, which has important implications for national environmental pollution and the role of environmental regulation. Nearly 30 years of reform and opening up, China's economy gained rapid development, but also by our environment greatly undermined, the traditional to over-exploitation and consumption of resources on the environment of economic development mode characterized by high pollution has been unsustainable. The continuous improvement of living standards, but also changed the conc ept of environmental protection of the people,As China entered the development phase transformation and upgrading, environmental factors as an important factor in sustainable economic development has become increasingly prominent role, how to achieve win-win environmental protection and economic development are the common concerns of countries today, and it also become an international exchange important and hot topic.International trade plays a very important role on the environmental pollution and environmental regulation, and may reduce the environmental quality standards of a country. This paper presents an econometric model analyzing the effect of polluted product trade on the environmental regulation. The empirical study is implemented by combining the panel data of 48 countries from 2001 to 201 2 with the system GMM method.The results show that for all samples and developing countries, the export of polluted industries leads to “race to the bottom” of environmental regulation, while the import of polluted industries can enhance the environmental regulation. The sample of countries grouped estimation results rem ain robust,“race to the bottom”hypothesisis still valid. The existence of inverted "U" shaped relationship between per capita income and environmental regulation, with the increase in per capita income, tend to strict environmental regulation after the first loose; The impact of corruption and urbanization on environmental regulation, it is dependent on the empirical method used.According to the empirical results of this paper puts forward the corresponding policy recommendations. Adhere to the scientific concept of development, and constantly improve the level of income, nurture and increase public awareness of environmental protection, implement reasonable means to solve environmental problemss. Motivate and strengthen technological innovation and enhance the quality of export products; optimize the trade structure, reduce pollution exports will help improve the quality of the environment. In the process of urbanization, we must establish a correct concept of ecological civilization.