Abstract

Based on the statistical analysis and on-site interviews, this paper combines to assess the effects of industrial location, industry mix, industry ownership, and environmental policies on urban pollution levels in Beijing, China. A regression model relates these variables to an index of overall environmental quality for Beijing city. Shift-share analysis is used to determine the direction of recent sectoral shifts, and interviews and anecdotal evidence provide a broader context for our conclusions. We found that industry type, ownership and size significantly affect urban pollution levels. We conclude that although local enforcement of environmental regulations in Beijing has been effective, at the national level it is still inadequate. Finally, we recommend that policies calling for a reduction in the role state-owned and certain small-scale industries be incorporated into the larger economic goals of the central government.

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