Abstract

The United Nations Commission on Sustainable Development argues that the full picture of sustainable development should consist of four dimensions: economic, environmental, social, and institutional. Since regions within a country should set up a similar institutional framework, this study analyzes China’s regional sustainable development from the perspectives of economic, environmental, and social dimensions. Based on the dataset obtained from China Statistics Yearbook and consisting of 30 regions of China for the period 2006–2009, the empirical results show that the optimal values for the origins of FDI are different in the various regions of China as well as optimal energy consumptions. Other findings note that: (1) the eastern region should only target FDI from non-overseas Chinese regions; (2) the middle region is the appropriate place to invest capital from overseas Chinese regions; and (3) China should diminish energy consumption countrywide, especially in the eastern and middle regions.

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