Journal
ECONOMIC MODELLING
Volume 120, Issue -, Pages -Publisher
ELSEVIER
DOI: 10.1016/j.econmod.2022.106149
Keywords
Economic growth targets; Green development; Spillover effects; Spatial econometric model; China
Categories
Ask authors/readers for more resources
This study examines the impact of economic growth targets on green development. Using data from 285 cities in China, the results show that economic growth targets have both positive and negative effects on green development. Green total factor productivity is improved while pollution emission intensity is increased. The results also reveal the influence of green innovation, resource misallocation, strategic interaction, and transboundary pollution on the outcome.
This study explores whether green development benefits or suffers from economic growth targets. Although prior research has highlighted various aspects of green development, the impact of performance targets, which are set by authorities as a baton of macroeconomic policy, remains largely unexplored. Using data from 285 cities in China over the period 2005-2018, we employ a spatial Durbin model to examine the role of economic growth targets in green development. Results show that green total factor productivity is improved while pollution emission intensity is increased, suggesting that economic growth targets are a double-edged sword that promotes green development modes yet inhibits green development effects. Mixed results are also observed in surrounding areas; however, their magnitudes are spatially attenuated. Furthermore, a channel analysis reveals that the outcome is influenced by green innovation and resource misallocation in the region as well as by strategic interaction and transboundary pollution in neighboring regions.
Authors
I am an author on this paper
Click your name to claim this paper and add it to your profile.
Reviews
Recommended
No Data Available