Abstract
An analysis of not only the effects of independent research and development (R and D), but also of the effects of the introduction of domestic and foreign technology on the growth of green manufacturing, can help China achieve the green transformation of manufacturing. In this paper we first use a non-directional distance function (NDDF) and meta-frontier methods to calculate a green growth index. Then, using 2003 to 2015 manufacturing panel data, we empirically test the effects of three different types of R and D investment on the green growth of China’s manufacturing. The regression results show that there is significant industrial heterogeneity in the effects of independent R and D, in the introduction of domestic technology and in the introduction of foreign technology on the green growth of China’s manufacturing. Independent R and D is conducive to the green growth of the three types of technological industries, but the contribution of independent R and D to green growth has gradually weakened with improvements in industrial technology. Domestic technology introduction is conducive to green growth in low and middle-technology industries, but its effect on high-technology industries is not significant. On the other hand, foreign technology introduction is conducive to the green growth of middle and high-technology industries, but its effect on low-technology industries is not significant.
Highlights
As the manufacturing sector is the principal driving force behind real economic growth in China, it follows that it is responsible for the bulk of China’s energy consumption and environmental pollution
What are the differences in the effects of independent R and D, domestic technology introduction and foreign technology introduction on the green growth of manufacturing? Is there an industrial heterogeneity in these effects? These will be the focus of this paper
Li (2007) used the data envelopment analysis (DEA) method to measure the growth rate of total-factor productivity (TFP) of China’s 32 industrial sectors, and empirically analyzed the effects of these different types of R and D investments on the growth of TFP; the results showed that foreign technology introduction was conducive to the growth of TFP, but the effects of independent R and D and domestic technology introduction were not significant [15]
Summary
As the manufacturing sector is the principal driving force behind real economic growth in China, it follows that it is responsible for the bulk of China’s energy consumption and environmental pollution. In 2014, manufacturing accounted for 30.4% of GDP, but consumed 57.6% of total energy and emitted 70.5% of the total CO2 [1] It is, urgent for China’s manufacturing sector to lay out a sustainable development path which promotes economic growth, and protects the environment. Urgent for China’s manufacturing sector to lay out a sustainable development path which promotes economic growth, and protects the environment This path is a green transformation road which is dominated by improving green total-factor productivity. Following the economic globalization of the last few years, R and D investment in China’s manufacturing sector has mainly been of three types: independent R and D, domestic technology introduction, and foreign technology introduction. In the context of China’s current emphasis on independent innovation and green economy, the study has a strong practical significance for identifying those driving forces in the transformation of China’s economic development structure and how to properly deal with the relationship between independent R and D and technological introduction in different manufacturing industries
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