A Study On The Economic And Environmental Effects Of Environmental Regulation

In recent years,various environmental problems are gradually emerging with the development of economic and becoming an obstacle to economic and society development.In order to solve this problem properly,our government hopes to alleviate our environmental pollution by strict and differentiated environmental regulation policies,so as to promote the adjustment and upgrading of China's industrial structure and drive the economic development of underdeveloped areas.Then,by improving the level of environmental regulation,is it really feasible to give consideration to environmental protection at the same time to ensure economic development?Which type of environmental regulation has a better effect on reducing pollution emissions and driving economic growth?This is a problem that needs to be discussed in depth.Firstly,through literature review,researches of economic effect and environmental effect of environmental regulation are summarized and commented,and through theoretical analysis and mechanism analysis of the environmental regulation,we analyzed economic effect and environmental effect of it,making assumptions on the empirical results.On this basis,this paper selects panel data from 30 provinces in China from 2004 to 2015,and uses static panel model and dynamic panel model to analyze the economic and environmental effects of formal and informal environmental regulation respectively.The empirical results show that from China's overall point of view,both of the formal and informal environmental regulation will significantly reduce local pollution emissions intensity,and promote industrial technology innovation in the long term,leading the growth rate of pollution industry higher than the national average.That is to say,by strengthening the level of formal environmental regulation and keeping the level of informal environmental regulation within a reasonable range,and encouraging enterprises to carry out technological innovation,China can take into account economic development and environmental protection as a whole.From the regional perspective,improving the level of environmental regulation may reduce pollution emission intensity and improve the quality of the environment in the eastern region,but this will also cause the pollution industries' turning out,losing part of income coming from pollution industries,while for the central region and the western region,enhancing the level of environmental regulation will finally lead to lower pollution intensity and reduce industrial pollution transfer,that is to say,in the Midwest,raising the level of environmental regulation can achieve a win-win situation between economic and environment.