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Can Government Environmental Auditing Help to Improve Environmental Quality? Evidence from China

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  • Xiaoyu Li

    (School of Accounting, Chongqing Technology and Business University, Chongqing 400067, China
    Research Center for Economy of Upper Reaches of the Yangtze River, Chongqing Technology and Business University, Chongqing 400067, China)

  • Jiawei Tang

    (School of Accounting, Chongqing Technology and Business University, Chongqing 400067, China)

  • Chao Feng

    (School of Economics and Business Administration, Chongqing University, Chongqing 400030, China)

  • Yexiao Chen

    (School of Accounting, Chongqing Technology and Business University, Chongqing 400067, China)

Abstract

Promoting environmental governance to achieve green and low-carbon development is the focus of attention from all walks of life. As a policy tool to control environmental pollution, the effectiveness of environmental audits remains to be verified. Based on China’s provincial data from 2004 to 2019, this paper aims to examine the impact and mechanisms of government environmental auditing on environmental quality. Results show that government environmental auditing helps to improve overall environmental quality, but there is a certain lag effect occurring. The heterogeneity test suggests that the impact of environmental auditing on comprehensive environmental quality is more significant when the government competition is smaller, the financial situation is better, and the institutional environment is weaker. Our analysis provides empirical evidence for understanding the role and function of government environmental auditing in environmental governance.

Suggested Citation

  • Xiaoyu Li & Jiawei Tang & Chao Feng & Yexiao Chen, 2023. "Can Government Environmental Auditing Help to Improve Environmental Quality? Evidence from China," IJERPH, MDPI, vol. 20(4), pages 1-21, February.
    • Handle: RePEc:gam:jijerp:v:20:y:2023:i:4:p:2770-:d:1057664
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    2. Liu, Junxian & Nie, Song & Lin, Tiantian, 2024. "Government auditing and urban energy efficiency in the context of the digital economy: Evidence from China's Auditing System reform," Energy, Elsevier, vol. 296(C).

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