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What causes dynamic change of green technology progress: Convergence analysis based on industrial restructuring and environmental regulation

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  • Tian, Ying
  • Pang, Jun

Abstract

Using 57 city-level panel data of Yellow River Economic Belt from 2004 to 2018, this paper investigates the effect of industrial restructuring and environmental regulation on dynamic change of green technology progress (GTP) by convergence models. Industrial restructuring is divided into rationalization and advancement industrial structure. Concretely,δconvergence results present that GTP values of different cities do not converge to steady state, but absoluteβconvergence results show that GTP growth rate of different cities will reach to a certain steady-level. In addition, the estimation results verify the existence of GTP conditionalβconvergence. Rationalization industrial structure, advancement industrial structure, and environmental regulation respectively have significantly positive effect on GTP, but the positive effects of rationalization and advancement industrial structure reduce with the increase of environmental regulation. Moreover, fiscal revenue decentralization and fiscal expenditure decentralization are important transmission channels through which industrial restructuring and environmental regulation affect GTP.

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  • Tian, Ying & Pang, Jun, 2023. "What causes dynamic change of green technology progress: Convergence analysis based on industrial restructuring and environmental regulation," Structural Change and Economic Dynamics, Elsevier, vol. 66(C), pages 189-199.
    • Handle: RePEc:eee:streco:v:66:y:2023:i:c:p:189-199
    DOI: 10.1016/j.strueco.2023.05.002
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