Research On The Impact Of FDI And Environmental Regulations On The Upgrading Of Industrial Structure

After many years of reform and opening up,China has become a big country with inflow of foreign capital,and its economy has achieved rapid development.However,the problem of irrational industrial structure has continued to emerge,and environmental pollution incidents are common.It can be seen that how to balance quality and quantity in the current economic development is particularly important.Therefore,it is necessary to study the impact of FDI and environmental regulations on the upgrading of industrial structure to promote sustainable economic development.First of all,this article expounds the relevant theories of FDI,environmental regulation and industrial structure upgrade,combs the mechanism of the impact of FDI and environmental regulations on the upgrading of industrial structure,and analyzes the current situation of China's industrial structure,FDI and environmental regulation.Then,taking 30 provinces in mainland China as the research object,based on its panel data from 2000 to2017,the DEA model Malmquist index method was used to measure the level of industrial structure upgrade,and the industrial structure upgrade of the three major industries in China from 2000 to 2017 was measured index.Finally,a spatial autoregressive model(SAR)was constructed using spatial measurement methods to analyze the impact of FDI and environmental regulations on industrial structure upgrade in China from 2000 to 2017.The research finds that:(1)The Malmquist productivity indexes of the primary,secondary and tertiary industries show different trends.(2)There is a positive spatial correlation between the three levels of industrial structure upgrade,FDI,and environmental regulation.There is also a positive spatial autocorrelation between the levels of industrial structure upgrade.(3)Both FDI and environmental regulations have significantly promoted the upgrading of the industrial structure,but the interaction between FDI and environmental regulations has a negative impact on the upgrading of the industrial structure.(4)Economic growth,industrial scale,technological innovation,infrastructure,and human capital have a significant role in promoting the upgrading of the industrial structure,while government taxation has a negative impact on the upgrading of the industrial structure.Finally,based on the research results,the following policy recommendations are proposed:(1)Improve the quality of FDI and promote the technological spillover effect of FDI.(2)Improve the intensity of regional environmental regulations and exert the compelling effect of environmental regulations on upgrading industrial structure.(3)Coordinate the intensity of FDI and environmental regulations,and promote their benign interaction.(4)By upgrading the level of economic development,increasing social fixed asset investment,encouragingtechnological innovation,improving infrastructure construction,supporting the development of higher education,and appropriately adjusting the tax structure of enterprises,to promote the upgrading of industrial structure.Effectively play the positive role of the support system,and create a healthy environment for upgrading industrial structure.