How does trade development affect environmental performance? New assessment from partially linear additive panel analysis

Xie, Qichang; Hui, Wu

doi:10.1016/j.eiar.2021.106584

Cited by 19 publications

(10 citation statements)

References 64 publications

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“…GTFP can be further decomposed as green efficiency change (GEC), which is a change in production efficiency with the technological frontier remaining constant, and green technology change (GTC), which is the advancement of technological frontiers (Du & Li, 2019; Nkamleu, 2004; Xie & Wu, 2021). The effects of EG exports on the two decompositions are elaborated on in the following text.…”

Section: Conceptual Framworkmentioning

confidence: 99%

“…Despite the fact that China is already the leading producer and exporter of EGs, other developing countries are increasingly playing a significant role in global EG supply chains (UNEP, 2018). In addition, China, like other developing nations, is currently tasked with economic development and environmental protection (Xie & Wu, 2021). In light of this, we are curious how EG exports affect China's goal of green development.…”

Section: Introductionmentioning

confidence: 99%

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Environmental good exports and green total factor productivity: Lessons from China

Liu

Zhang

Huang

et al. 2022

Sustainable Development

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Trade liberalization for environmental goods (EG) could pave the way for a "win-win" scenario for both the economy and the environment. This study examines the impact of environmental good exports on the comprehensive economic development and environmental protection index, green total factor productivity (GTFP), using a Chinese city-level panel dataset from 2003 to 2015. Overall, our findings indicate that EG exports are detrimental to China's green development. Particularly, traditional EGs intended to address environmental concerns significantly impede GTFP, whereas environmentally preferable products with cleaner product life cycles have no such effect. Furthermore, EG exports do not significantly reduce conventional TFP without accounting for energy and pollution, implying that the loss of GTFP is primarily due to environmental factors. When GTFP is disaggregated into green efficiency change (GEC) and green technology change (GTC), EG exports can increase GEC while reducing GTC. However, once the value of EG exports surpasses a certain threshold, EG exports raise GTC and GTFP. Furthermore, regional resource misallocation, environmental regulation, and absorptive capacity can all help to mitigate the negative EG-GTFP relationship. This study could be useful for stakeholders interested in leveraging synergies between the economy and the environment by participating in global EG supply chains.

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Section: Conceptual Framworkmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

Environmental good exports and green total factor productivity: Lessons from China

Liu

Zhang

Huang

et al. 2022

Sustainable Development

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“…Trade openness benefits the community and the state in terms of foreign exchange, but if there is no trade restriction regulation, it causes the entry of low-quality and high-emission energy consumption goods, thereby increasing carbon emissions (Acheampong et al, 2019;Coskuner et al, 2020;Kwakwa, 2020). There are different points of view regarding trade and environmental quality (Esmaeilpour Moghadam and Dehbashi, 2018;Fakher and Abedi, 2017;Soylu et al, 2021), where trade can be seen as damaging the environment or as having the effect of improving environmental quality (Chen and Hu, 2020;Xie and Wu, 2021).…”

Section: Introductionmentioning

confidence: 99%

“…There are different points of view regarding trade and environmental quality (Esmaeilpour Moghadam and Dehbashi, 2018; Fakher and Abedi, 2017; Soylu et al. , 2021), where trade can be seen as damaging the environment or as having the effect of improving environmental quality (Chen and Hu, 2020; Xie and Wu, 2021).…”

Section: Introductionmentioning

confidence: 99%

What are the factors that determine differing levels of environmental quality? Evidence from Java and other islands in Indonesia

Pujiati

Nurbaeti

Damayanti

2022

MEQ

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PurposeThis paper aims to identify variables that determine the differing levels of environmental quality on Java and other islands in Indonesia.Design/methodology/approachUsing a quantitative approach, secondary data were sourced from the Central Statistics Agency and the Ministry of Environment and Forestry. The data were obtained through the collection of documentation from 33 provinces in Indonesia. The analytical approach used was discriminant analysis. The research variables are Trade Openness, Foreign Direct Investment (FDI), industry, HDI and population growth.FindingsThe variables that distinguish between the levels of environmental quality in Indonesian provinces on the island of Java and on other islands are Industry, HDI, FDI and population growth. The openness variable is not a differentiating variable for environmental quality. The most powerful variable as a differentiator of environmental quality on Java Island and on other islands is the Industry variable.Research limitations/implicationsThis study has not classified the quality of the environment based on the Ministry of Environment and Forestry's categories, namely, the very good, good, quite good, poor, very poor and dangerous. For this reason, further research is needed using multiple discriminant analysis (MDA).Practical implicationsIndustry is the variable that most strongly distinguishes between levels of environmental quality on Java and other island, while the industrial sector is the largest contributor to gross regional domestic product (GDRP). Government policy to develop green technology is mandatory so that there is no trade-off between industry and environmental quality.Originality/valueThis study is able to identify the differentiating variables of environmental quality in two different groups, on Java and on the other islands of the Indonesian archipelago.

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“…For the research in China, Xu et al (2020) used panel data from 279 prefecture-level cities and found that trade liberalization significantly reduced PM2.5. Third, the relationship between trade and environmental pollution is unclear (Al-Mulali et al, 2015;Xie and Wu, 2021). Shahbaz et al (2017) researched that the combined effects of trade openness can help improve environmental quality, while the comparative advantage effect will worsen environmental quality.…”

Section: Introductionmentioning

confidence: 99%

Environmental Governance Effect of the Transformation of Export Trade Mode: Empirical Evidence from 194 Cities in China

Fang

Liu

2021

Preprint

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As one of the developing countries, China's export trade mode (ETM) has gradually shifted from processing trade to general trade. Is the deterioration of China's environmental pollution caused by the transformation of ETM? Based on the panel data from 194 cities in China from 2000 to 2016, this paper investigates the impact of ETM transformation on the environmental pollution and its internal mechanism. The results show that: the ETM is gradually shifting from processing trade to general trade, environmental pollution will deteriorate first and then improve, that is, showing a significant “inverted U-shaped” relationship between the transformation of ETM and environmental pollution. Through the robustness test of the threshold, and SYS-GMM model, the results are still valid. The mechanism research shows that the upgrading of industrial structure, energy structure, industrial agglomeration, environmental protection investment and resource allocation are the main mechanism that the transformation of ETM affect environmental pollution. The conclusions of this study can provide empirical evidence for the process that the environmental pollution level of developing countries deteriorated and then improved during the process of transforming from processing export trade to general export trade.

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How does trade development affect environmental performance? New assessment from partially linear additive panel analysis

Cited by 19 publications

References 64 publications

Environmental good exports and green total factor productivity: Lessons from China

Environmental good exports and green total factor productivity: Lessons from China

What are the factors that determine differing levels of environmental quality? Evidence from Java and other islands in Indonesia

Environmental Governance Effect of the Transformation of Export Trade Mode: Empirical Evidence from 194 Cities in China

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