The Impact of Environmental Regulation on the Green Overall Factor Productivity of Forestry in the Yangtze River Economic Belt

Abstract

Environmental regulatory instruments are key to achieving synergy between high-quality economic development and ecological civilization construction. This paper measures the green overall factor productivity of the forestry in the Yangtze River Economic Belt by using the super-efficient nonexpected output SBM-ML index model. Additionally, it investigates the environmental regulation’s impact on forestry’s overall green factor productivity by using the conventional panel regression and panel smooth transformation model. The model was based on the relevant data obtained from eleven provinces along the Yangtze River Economic Belt in China from 2006 to 2021. This study concludes that command-and-control regulation of the environment and public engagement with environmental regulation can significantly promote the forestry green overall factor productivity in the Yangtze River Economic Belt, and the environmental regulation’s effects on the forestry green overall efficiency in the economic region of the Yangtze River are regionally and temporally heterogeneous. The command-and-control environmental regulation also needs to exceed a certain level of regulatory coercion to promote the forestry green overall factor productivity positively. The effects of market-incentive environmental regulation were more pronounced with the increase in the regulatory intensity. When the regulation intensity surpasses the threshold, the public participation form of environmental regulation has a depressing impact on the forestry green overall factor output. To promote the development of the forestry industry in the Yangtze River Economic Zone, it is therefore necessary to strengthen the coordination of different environmental regulations, implement measures in each region, build a market-oriented green innovation system, and promote the structuralization and upgrading of the forestry industry.