Study On The Impact Of Environmental Regulation On The Performance Of Ecological Innovation In China's Manufacturing Industry

China is the largest industrial country in the world.Its industrial output value reached27.99 trillion yuan in 2017,more than the sum of the United States,Japan and Germany.Meanwhile,the output value of China's manufacturing industry reached up to 24.27 trillion yuan,accounting for 86.71 percent of the industrial output value,worthy the name of the pillar industry.Along with the increase of economic volume,manufacturing industry consumes a lot of energy and resources in the process of development,causing serious ecology-environment pollution problems.To deal with this situation,the government regulated the external problem caused by pollution so as to achieve the goal of protecting the environment and developing the economy.At the Fifth Plenary Session of the 18 th CPC(Communist Party of China)Central Committee in 2015,the idea of "innovation,green" development was put forward,emphasizing the leading development driven by innovation.Constructing the innovation system and green manufacturing in manufacturing industry highlights the important role of ecological innovation.Therefore,it is necessary to study the effect and extent of the governmental environmental regulation on the performance of manufacturing ecological innovation.Firstly,this paper analyzes the input and output situation of ecological innovation in China's manufacturing industry,R&D personnel and investment index are used to represent the input of ecological innovation in manufacturing industry,and the number of patent applications and R&D output level are used to measure innovation output level.It is believed that the input-output ratio of ecological innovation in China's manufacturing industry has decreased slightly in recent years.Secondly,considering the factors influencing the performance of manufacturing ecological innovation,an evaluation index system reflecting economic performance and environmental performance is constructed.The ecological innovation performance of 28 industries in China's manufacturing industry from 2006 to 2015 is measured and briefly evaluated by projection pursuit model.Then,the impact model of environmental regulation on the performance of manufacturing ecological innovation is analyzed and hypothesis are put forward,and the econometric model is set up to carry out the empirical research.The results show:(1)The overall performance of China's manufacturing ecological innovation fluctuates and rises.There is obvious industry heterogeneity in the manufacturing ecological innovation performance.The ecological innovation performance value of technically strong industry is higher,while the performance value of ecological innovation in resource-based industries islower.(2)The influence of command-controlled environmental regulation and market-incentive environmental regulation on the performance of manufacturing ecological innovation shows a “U”-shaped variation characteristic,which first declines and then rises.As the intensity of environmental regulation increases,the “cost effect” of environmental regulation on ecological innovation performance becomes “compensation effect”.When the level of regulation is low,enterprises only need to pay a certain pollution control cost without spending financial and material resources carrying out ecological innovation,and thus the performance of ecological innovation declines.When the regulation level breaks through the turning point,the high regulation level forces the polluting enterprises to actively carry out the ecology innovation.On the one hand,innovation enhances efficiency and increases profits.On the other hand,it reduces pollution control expenditures,which is conducive to the long-term adherence to ecological innovation.(3)At present,the level of environmental regulation in various industries in China is relatively weak,which is not enough to stimulate enterprises to carry out ecological innovation.Finally,some suggestions are put forward on optimizing the industrial structure adjustment of manufacturing industry,strengthening the dominant position of enterprises in ecological innovation activities,formulating more reasonable environmental regulation policies and intensity,and considering the application of informal environmental regulation in the field of consumption.