Research On The Impact Of Environmental Regulation On Green Innovation Of Enterprises

With the rapid development of economy,environmental pollution is becoming more and more serious.Countries are paying more and more attention to the problem of enterprise pollution emissions.How to formulate effective environmental regulations to promote the green innovation of enterprises has become a hot topic in the current society.Since the founding of the People ’s Republic of China,China has never stopped exploring environmental regulation and issued many relevant policies and regulations.Among them,the ’ Environmental Protection Tax Law ’ formally implemented in 2018 combines pollution emission penalties with green innovation subsidies.It is not only a typical representative of China ’s environmental regulation policy,but also an important research object to explore whether China ’s environmental regulation can effectively promote green innovation of enterprises.However,environmental regulation involves many stakeholders,including enterprises,third-party environmental monitoring institutions,local governments and the public.Due to the inconsistency of the expectations of the interests of the stakeholders and the asymmetry of the information between the groups,the relationship between the participants is complicated.Based on the above background,this paper will construct a four-party evolutionary game model of enterprises,third-party environmental monitoring institutions,local governments and the public.Combined with the simulation method,the strategy selection and behavior evolution trajectory of each participant in the game system are simulated and analyzed to explore the impact of environmental regulation on enterprise green innovation.At the same time,on this basis,taking the panel data of Chinese listed companies from 2014 to 2020 as the research sample,based on the quasi-natural experimental perspective of the implementation of ’environmental protection tax ’,this paper uses the triple difference method to empirically test the promotion effect of environmental regulation on corporate green innovation.The results show that :(1)Using evolutionary game and simulation method,it is found that reasonable environmental regulation can effectively promote the green innovation of enterprises and regulate the industry behavior of third-party environmental monitoring institutions.The most effective strategy to promote green innovation is to appropriately increase the local government ’s pollution emission penalties and green innovation subsidies to enterprises to a certain extent.At the same time,the degree of corporate image damage,the cost of corporate collusion,and the central government ’s accountability for local governments have different degrees of impact on corporate green innovation.However,it is worth noting that local governments ’increased reporting incentives to the public can promote green innovation of enterprises to a certain extent,but the effect is not significant,so it needs to be used in conjunction with other policies.In addition,the local government ’s increase in penalties for violations of third-party environmental monitoring institutions can effectively regulate the industry behavior of monitoring institutions,thereby curbing the collusion between enterprises and third-party environmental monitoring agencies to evade pollution discharge penalties.(2)Using the triple difference method,it is confirmed that China ’s current environmental protection tax has a significant positive effect on corporate green innovation.The Porter hypothesis is still applicable in China,that is,the promotion effect of environmental regulation on corporate green innovation is tested at the empirical level.At the same time,the difference in property rights will affect the policy implementation effect of environmental protection tax.Compared with state-owned enterprises,environmental protection tax can significantly promote green innovation of non-state-owned enterprises.In addition,government subsidies have a certain regulatory effect on the promotion effect of environmental protection tax on green innovation of non-state-owned enterprises.