Empirical Research On The Impact Of Industrial Agglomeration On Environmental Pollution

With the gradual deterioration of the environmental quality which is closely related to human beings,positive and negative externalities on the environment from industrial agglomeration have gradually become the focus of attention of scholars at home and abroad.Further research on the relationship between industrial agglomeration and environmental pollution and clarifying the mechanism between them can not only provide theoretical support for the problem of pollution reduction in agglomeration area,but also have important reference significance for solving the contradiction between growth and pollution.This paper tries to enrich and perfect the deficiency based on the existing research,attempting to reveal the externalities of industrial agglomeration on environment.In view of the large number of intermediate mechanisms between them,the essay pays much attention to focus on the differences between industrial agglomeration and environmental pollution under different urban size and foreign direct investment.Combined the theoretical analysis with empirical study,the essay carries out a detailed analysis and discussion.In the part of theoretical analysis,based on the research approach of Grossman and Krueger in 1995,the influence mechanism of industrial agglomeration on environmental pollution has been discussed respectively from scale effect,technical effect and structural effect,so as to construct the framework of the theoretical analysis.The three forces play a role in the environmental pollution in the mutual game.Then,the paper combines urban size and foreign direct investment respectively into the analysis framework of industrial agglomeration effect on the environmental pollution,aiming at analyzing the differences under different level of urban size and foreign direct investment.In the part of empirical study,based on the panel data of 279 prefecture-level cities(excluding municipalities)from 2003 to 2014,the research expands STIRPAT model developed by Dietz and Rosa in 1994,and constructs the panel model.Moreover,the model is extended to nonlinear model,using the threshold regression model proposed by Hasen in 1999,so as to develop an empirical analysis of the threshold effect of urban size and foreign direct investment.The results of empirical study show that the impact of industrial agglomeration on environmental pollution depends on different level of urban scale and foreign direct investment,and there is a significant threshold effect.There is a single threshold model about effect of industrial agglomeration on environmental pollution under different level of urban sizes,more specifically,a "U" type nonlinear relationship between the two is existed.However,in different levels of foreign direct investment,there is a double threshold model about the impact of industrial agglomeration on environmental pollution,an inverted "U" type nonlinear relationship between them is performed.On the basis of theoretical analysis and empirical study,the paper puts forward corresponding policy recommendations on how to play the role of industrial agglomeration in pollution reduction.On the one hand,we should formulate differentiated policies,considering the differences in the population size and foreign direct investment of each city.On the other hand,when formulating population policies and foreign capital introduction policies,we should also formulate corresponding policy orientations for the level of environmental pollution and industrial agglomeration for each city.On this basis,It is conducive for reductions in pollution to strengthen the infrastructure construction in the agglomeration area and encourage enterprises to increase investment in technology innovation of production and pollution control,making pollution treatment an integral part of the production chain of the enterprise.The possible innovations in this paper are mainly reflected in the following three points:First,from the perspective of research,taking urban size and foreign direct investment into account,we will explore the impact of industrial agglomeration on environmental pollution under different level of population size and foreign direct investment in different cities,which is an important supplement to existing research and different from the existing literature about focusing more on exploring the impact of industrial agglomeration on environmental pollution from the perspective of economic growth and technological progress.Second,in terms of research methods,based on the research methods of Grossman and Krueger in 1995,a theoretical analysis framework for the impact of industrial agglomeration on environmental pollution was constructed,and STIRPAT model developed by Dietz and Rosa in 1994 was revised.Using threshold regression model proposed by Hasen in 1999,the paper explores the nonlinear relationship between industrial agglomeration and environmental pollution,which is helpful to explore the relationship between dependent variable and independent variable accurately,determine the corresponding threshold,and pay attention to the dynamic changes of industrial agglomeration on pollution reduction.Finally,in the sample,comparing with using provincial panel data in existing research,this paper uses the panel data of prefecture-level city,which can better portray the effect of industrial agglomeration on environmental pollution and provide decision-making basis to formulate differentiation policy for each city.