Impact Of Environment Regulation On The Upgrading Of China's Textile Industry

Textile industry in China is a industry of high degree of labor-intensive,larger external dependence,important livelihood industry and the traditional pillar industries of China's economy,but it also has obviously competitive advantage in the international industry.With the increase of production cost and the intensification of international competition,China's textile and garment industry is faced the probem of overcapacity,serious loss in industry and declining profit.At the same time,the textile industry is also a highly polluting industries.Years ago,in order to promotion the economic development,many palace of China to environmental pollution in exchange for economic development.With the gradual enhancement of people's environmental awareness,the state's environmental protection efforts are gradually increasing,in the context of increasingly stringent environmental regulations,the development of China's textile industry is bound to be affected.This paper mainly from the perspective of environmental regulation,studying the impact of environmental regulation and the industrial upgrading,which help us better understand the impact of environmental regulation on China's textile industry,and it will help us to have a clear understanding how we face a environmental regulation of the current textile industry.This paper,we have an empirical analysis about environmental regulation and the upgrading of China's textile industry.Firstly,this paper divides environmental regulation into formal environmental regulation and informal environmental regulation,then we establishes a panel regression model and studies the impact of formal environmental regulation and informal environmental regulation on textile industry upgrading.The result shows that the formal environmental regulation has significant effect on the textile industry of our country.For each 1% increase in formal environmental regulation,the total factor productivity increases by 0.138%.The informal environment,income level index,has a significant effect on the productivity of the textile industry;The educational level under the level of 10% also have a role in promoting.On the whole,the informal environmental regulation to promote the textile industry is also gradually emerging,and it also shows that China's public awareness of environmental protection can promote the upgrading of the textile industry.Next,this paper further studies whether there are threshold effects and industry heterogeneity in formal industrial regulation on the industrial upgrading of the four industries.In this paper,we use the formal environmental regulation and the lagged first order,the intensity of industrial pollution discharge and the lagged first order as the threshold variable.Combining with stata11.0,we find that when the industrial pollution intensity is the threshold variable,the single threshold test is very significant.The threshold is 2.436,so this paper uses a single threshold panel regression model.The result shows that the industry is divided into "strong regulation" group and "weak regulation" group when use the industrial pollution emission intensity as the threshold variable.The textile,garment and leather industries fall into the "strong regulation" group,while the chemical fiber industry Fall into the "weak regulation" group.According to the single threshold model,the effect of environmental regulation intensity on industrial upgrading is different according to different industries.That is to say,with the enhancement of environmental regulation,it will have the effect of promoting,then restraining.When the industrial pollution intensity is greater than 2.436,formal environmental regulation every increase of 1%,the total factor productivity will increase 0.09%;when the industrial pollution intensity crosses the threshold value,formal environmental regulation every increase of 1%,the total factor productivity will drop 0.086%.This shows that industry heterogeneity of the textile industry,garment industry,leather industry and chemical fiber industry.