Impact of inter-provincial power resource allocation on enterprise production behavior from a multi-scale correlation perspective

Abstract

The endowment of production factors is an important factor that restricts the choice of enterprise operation strategy, further affecting the regional industrial structure and the quality of economic development. Due to the fact of the divided power market and the administrative system with a spatial nesting structure in China, the power resource allocation policies have an important and heterogeneous impact on enterprise production behavior. Therefore, this study systematically explores the cross-level influence mechanism of regional power resource allocation on enterprise production efficiency, power efficiency, and location transfer with a hierarchical linear model (HLM) and the large sample data of 239,483 power-consuming enterprises in China's manufacturing industry from 2008 to 2015. The results indicate that: (1) There are nested relationships between the data and the HLM model is reasonable. That is, the enterprise production behavior under different provincial government management is heterogeneous. (2) The power resource allocation plays an important role in the choice of enterprise production behavior. Specifically, the increase of power resource allocation deepens the negative impact of enterprise factor substitution on enterprise production efficiency, weakens the positive impact of enterprise R&D intensity on enterprise power efficiency, and has a direct positive effect on enterprise location transfer. The above findings improve the research chain of economic consequences of resource allocation, deepen the understanding of the specific impact mechanism of energy policies on enterprise behavior, and provide a decision-making reference for the government to optimize the power supply structure and power grid layout.