Abstract
With the industrial-level panel data on total output and wastewater discharge over the period of 1997 to 2018, this paper employs GIS and ESDA methods to empirically investigate the spatial relationship between industrial total output and wastewater discharge. In this paper, we empirically examine whether and how industrial wastewater discharge in a particular province may affect the wastewater discharge in its neighboring provinces. Results suggest that provinces (municipalities) with large-scale industrial sewage discharge are located along riversides and coastal areas and these discharges then gradually distribute to coastal, central, and western areas. Results also show a strong spatial autocorrelation of industrial wastewater discharge between the observed local province and its neighboring provinces which is increasing over time. In addition, there is also a significant spatial spillover effect of industrial wastewater discharge among neighboring provinces in China's eastern and central regions, indicating a structural convergence of high-pollution industries.
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