The Relationship Between Environmental Regulation,profit And Pollution Emission

The number of hog in China has been ranked the highest in the world.Such a huge amount of agriculture will also generate a worrying amount of pollution emission.In 2014,more than 2.5 million tons of feces and urine produced in the hog farming process were produced in China,which had a bad effect on human health and brought a heavy burden to the ecological environment.Chinese government has been committed to promoting targeted policies and regulations to control industry pollution over the years.Enhanced regulation intensity will bring effect on the producers production cost in various degree.Most of the existing studies have discussed the relationship between the profit of hog farming,pollution emission and environmental regulation,and less research can take into account the relationship between the three.In view of the above background,the economic and environmental performances of the hog farming industry have resulted in heated discussions in our country.This paper collected the panel data of hog farming in 30 provinces of China from 2005 to 2014.Based on the economic benefit and pollution emission,the paper analyzed the production performance of Chinese hog farming industry under environmental regulation.We used the compromise approach to integrate different features of interest into the dimensions of economic,pollution and regulation.The main contents of this paper are as follow:(1)Analyse the relationships among the environmental regulation,economic benefit and pollution emission;(2)Explore the characteristics of the best production areas with different time and scale;(3)Predict the total performance according to the characteristics of hog farming individuals.This article is organized as follows: Section 1 introduces the background and the significance of this study.According to the actual conditions in China,it also introduces the contents and methods related to the study.Relevant concepts,fundamental theories and literatures are reviewed in Section 2.Section 3 introduces the present situation of hog farming in China.Section 4 is the summary of research hypotheses and indicators.On the basis of literature review,combined with the actual situation of hog farming industry in China,we put forward the hypothesis of this paper.Section 5 is an empirical study and analysis.Firstly preprocess the data,and then use SPSS20.0 and MATLAB to test hypothesis and demonstration.In Section 6,according to the results of empirical analysis,the paper puts forward some suggestions for the relevant government departments and hog farming farmers,summarizes the innovation in this study,and expounds the limitations and future development direction of the research.We can draw the conclusion as follows:Enhancing the regulation intensity can to some degree help reduce the pollution emission,but discourage the producer to pursue more economically efficient production methods;and when we do not consider the governments implementations,pollution control is beneficial for the producers economic outcomes.The results of cluster analysis show that data set can be divided into different groups in terms of the producer's total performance by the k-means method.Meanwhile,we found that the geographical distribution in the clustering result is partially consistent with the official report from China government regarding advantageous regions within the hog farming industry.Environmental performances largely determine the producer's total performance,but the economic features contribute less.In order to test the accuracy of clustering,applying an outof-sample experiment to test error rate under randomly chosen splitting training samples.It shows that the K-means method can effectively predict the total performance according to the characteristics of different years,different regions and different scale of the producer's features.