Economic and environmental convergence of transformation economy: the case of China

Abstract

Rapid economic reforms and proper GDP growth in China has affected the regional development of Chinese provinces. This study aims to estimate the degree of economic and environmental disparities within Chinese provinces for developing policy recommendations of regional transformation. The reduced log-linear specification of endogenous growth model is used for the estimation of convergence rates within Chinese provinces. The empirical results prove that an increase of 1% in GDP per capita basic year reduces the economic growth rate by 0.1% in the reference year. Thus, the ratio of the average per capita income in the wealthiest group to poorest provinces accounted for the factor 9.6 in 1995 and factor 4.1 in the year 2015, which means a reduction of disproportionate development. Environmental convergence trends were also found and less polluted provinces eventually increase emissions at higher rates than the initially polluted ones. With the pass of time, all provinces do move to the same steady state in environmental parameters. The speed of the economic and environmental convergence in China provinces is rather slow, and the economic growth was achieved by great sacrifices of an environment, since all provinces are striving to the same steady state in terms of pollution increase. The industrialized regions due to the presence of significant financial resources should pay more attention to the protection of the environment using all the available economic potential. At the same time, both initially poor provinces and rich have to develop more profoundly agriculture, tourism, recreation, and other environmentally friendly industries to improve economic performance.

Environmental management and social marketing: a bibliometric analysis

“…In some studies, scientists consider that social marketing is one of the approaches to the study of market performance in various industries [41][42][43][44][45][46][47][48][49][50][51][52][53][54][55][56][57][58][59][60]. For example, Ma L., Mulley C., Liu W. [61] state that the social marketing and construction industry are essential starting points for the formation of population preferences in travel.…”

Why do regions differ in vulnerability to СOVID-19? Spatial nonlinear modeling of social and economic patterns

“…The studies (Rui et al, 2019;Cebula et al, 2018;Bilan et al, 2018) analyzed the environmental factors and their effects on the economy's resilience to systemic crises. The work (Mentel et al, 2018) theoretically substantiates that the regional environmental state is a driving force for the stable growth of the overall national health.…”

GHG Emissions Mitigation in the European Union Based on Labor Market Changes

“…Patrick Wijaya Tjoek and Pei-Ing Wu (2018) analyzed the relationship between economic development and environmental degradation, namely the level of carbon dioxide and sulfur dioxide emissions in Southeast Asia [16]. A similar study was conducted by Li Rui et al (2019) for different provinces in China [17]. Going back to European economies, Chovancová and Tej (2000) carried out their quantitative evaluation for the link between the economic growth of the energy sector on the one hand and GHG emissions generation by the V4 energy sectors (1995 to 2016) on the other [18].…”