Abstract

Environmental regulation and technological innovation are two crucial factors for improving industrial carbon productivity. However, prior research ignored the spatial spillover effects of these factors, and heterogeneity caused by industrialization level and resource dependence did not acquire attention either. Thus, we use the STIRPAT model and spatial panel Durbin model to study the spatial spillover effects of two independent variables. Then, a two-dimensional structural heterogeneity analysis is conducted according to the industrialization level and resource dependence. The results are as follows: improving environmental regulation and technological innovation is good for industrial carbon productivity. Simultaneously, there are obvious regional differences under two-dimensional structural heterogeneity. From the perspective of space, industrial carbon productivity has high spatial autocorrelation, and it can be enhanced through local environmental legislation, as well as technological innovation. Environmental regulation’s spatial spillover impact inhibits the improvement of industrial carbon productivity in surrounding provinces, resulting in a pollution haven effect. However, there is no evident regional spillover effect of technological innovation. Therefore, we provided new perspectives from spatial spillover and structural heterogeneity to optimize low-carbon policies.

Highlights

  • As a large amount of greenhouse gas emissions has been produced, global warming has caused frequent occurrences of extreme weather. erefore, alleviating global climate change and reducing greenhouse gas emissions have become urgent issues

  • Environmental regulation is significantly positive, while technological innovation is not significant. at is probably because the economic development in such provinces is highly dependent on coal and other fossil resources. e inherent path dependence will lead to the neglect of cultivating technology innovation ability, and it will hinder the breakthrough in the core technology of carbon emission reduction

  • Implication is paper examines the impact of environmental regulation and technological innovation on industrial carbon productivity using data from 30 Chinese provinces and autonomous areas from 2004 to 2016. e modified STIRPAT model and Durbin model are adopted as the main instrument for exploring spatial spillover effects

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Summary

Introduction

As a large amount of greenhouse gas emissions has been produced, global warming has caused frequent occurrences of extreme weather. erefore, alleviating global climate change and reducing greenhouse gas emissions have become urgent issues. Erefore, alleviating global climate change and reducing greenhouse gas emissions have become urgent issues. According to data released by the International Energy Agency [1], nearly 60 percent of global emissions were from China in 2016, and the industrial sector is the main source, consuming 67.9 percent of China’s energy and emitting 83.1 percent of carbon dioxide [2]. Us, reducing industrial carbon emissions is crucial to achieving China’s commitment, and a big challenge for China is how to reduce industrial carbon dioxide emissions while achieving sustainable economic development. Industrial carbon productivity is the embodiment of CO2 reduction and economic growth. Improving carbon productivity reflects an important effort to achieve China’s commitment to carbon reduction and global climate change strategy.

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