The Impact of Industrial Green Transformation on Regional Economic Development in China: An Empirical Study Based on Spatial and Threshold Effects

Abstract

At present, the high energy consumption, heavy pollution emissions, serious ecological damage and other problems of China’s industry are particularly prominent. Therefore, industrial governance is crucial and it is imperative to carry out industrial green transformation (IGT). Due to the differences in economic development, industrial structure and other aspects, the influence of IGT on different regions’ economic development has not been fully discussed. Using the provincial panel data of China from 2005 to 2019, this paper calculated each region’s IGT by constructing an index system and we discuss its impact on regional economic development, based on the spatial and threshold models. The results show that IGT in the eastern region is significantly higher than in the central and western regions. The IGT has a positive correlation in space and a significant positive spatial spillover effect on regional economic development. Moreover, there is a significant threshold effect of technological innovation in the influence of IGT on regional economic development. When technological innovation is low, the impact of IGT on regional economic development is not significant. As technological innovation rises and finally exceeds the critical point, the IGT will significantly promote regional economic development. This paper provides a scientific analysis and objective conclusions that may help to avoid radical measures in some regions in the process of “green development”.

Environmental regulation, land use efficiency and industrial structure upgrading: Test analysis based on spatial durbin model and threshold effect

“…Specifically, spatial lag models, spatial error models, and spatial Durbin models are commonly used. The spatial Durbin model combines the advantages of spatial error and spatial lag models[ 67 ], allowing for the examination of both the impact of other regions on the dependent variable and spatial spillover effects within the study area. Additionally, considering the dynamic persistence of environmental policies[ 68 ], the “time inertia” resulting from this characteristic should also be incorporated into the research scope.…”