The impact of land price distortion on green development efficiency: mechanism discussion and empirical test.

Abstract

Based on the panel data of 30 Chinese provinces, the Cobb-Douglas production function and GML index were constructed to measure the degree of land price distortion and green development efficiency, respectively, in China, and the System Generalised Method of Moments model was employed to explore the relationship between land price distortion and green development efficiency, and a mediating effect model was further constructed to analyse the transmission mechanism. The results show that, first, land price in China is characterised by a negative distortion, but the degree of negative distortion tends to decrease after 2010. Second, land price distortion significantly inhibits the improvement of green development efficiency; this conclusion still holds after a series of robustness tests, and land price distortion significantly promotes the progress of green technology, while significantly inhibiting the improvement of green technology efficiency. Third, the results of the mediating effect show that the inhibiting effect of land price distortion on green development efficiency is mainly achieved through three channels: house price, industrial structure and infrastructure. Finally, policy recommendations for green sustainable development are put forward from the aspects of land supply structure adjustment and so on.