The Influence Of Environmental Regulation And Local Government Competition On Technological Innovation

The report of the 19 th CPC National Congress emphasized,the modernization we want to build is the modern and harmonious coexistence of human and nature,We must not only create wealth but also pay attention to good ecological environment development.However,with the rapid economic growth,the industrial enterprises continue to increase,local governments brought a series of ecological destruction in pursuit of higher competitiveness,making environmental issues more and more acute.The government has also been aware of the urgency of this issue and increase environmental regulation.Undoubtedly,the improvement of the level of environmental regulation will relieve the pressure on resources,but it may also lead to the negative effect of cost investment.Therefore,under the constraint of environmental costs,it is particularly important to discuss how to adjust the competition pattern of local governments and design reasonable environmental regulations to create innovation in order to form sustainable competitiveness.In order to explore the relationship among environmental regulation,local government competition and technological innovation,this paper will use the provincial panel data of 30 provinces(except Tibet)in 2007-2014 to build a threshold model,and empirically analyze environmental regulations,local governments competition and the interaction of the two items affect technological innovation.The research results show that: 1.Environmental regulation,local government competition,environmental regulation,and interactions of local government competition all have a threshold effect on technological innovation.When the intensity of local government competition,foreign direct investment,economic development,and human capital reach a certain threshold,environmental regulations,local government competition,and interactions between environmental regulation and local government competition will affect technological innovation.There are differences in the scope and effect of regulatory and investment-based environmental regulation.2.There are regional differences in the inhibitory effects of interactions between environmental regulation and local government competition on technological innovation.The intensity of local government competition,foreign direct investment,economic development level,and human capital level are important factors that affect the inhibitory effects in some regions.The government should adjust the intensity of environmental regulation in accordance with the actual conditions in the region,increase the level of foreign direct investment,economic development,and the level of human capital in the region,reduce the suppression effect of vicious competition by local governments on environmental regulation and innovation,and promote regional sustainable development.