Regional integration policies and urban green innovation: Fresh evidence from urban agglomeration expansion

Climate change is a non-traditional security crisis affecting the global economy and diplomatic progress. In order to curtail carbon emissions and alleviate the perils of climate change at their roots, urban green innovation (UGI) has emerged as a pivotal technological solution. Using the expansion of the Yangtze River Delta urban agglomeration in China as a case study, this paper develops a quasi-experimental model to analyze the effects of regional integration policies on UGI. The main findings are: (1) Regional integration policies significantly enhance UGI and their impact is more pronounced with the expansion of urban agglomerations; (2) Regional integration policies contribute to the advancement of exploitative green innovation while tending to diminish exploratory green innovation; (3) The green innovation effects (GIEs) created by the expansion of regional integration policies are largely influenced by governmental mechanisms on environmental governance as well as residents' green preferences. Based on these findings, recommendations are put forward to promote UGI from the perspective of policy implementation.

The impact of China's carbon trading policy on enterprises' energy-saving behavior

This paper mainly investigates whether emissions trading for pollutant permits more effective. By employing difference-in-differences method and a compressive firm-level dataset, we evaluate the impact of carbon trading system pilot cities policy on enterprises' energy-saving behavior. The findings indicate that after carbon trading system pilot cities policy, enterprises' coal consumption and coal intensity decreased by almost 34 % and 33 % respectively. The policy effect is more pronounced for larger companies and for firms in energy-intensive sectors. Moreover, the policy effect becomes stronger over time. Our results satisfy the common trend assumption. Meanwhile, the investment in equipment and output are increased, which prove emissions marketization could bring about substantial improvements in productivity.

Can environmental tax reform promote carbon abatement of resource-based cities? Evidence from a quasi-natural experiment in China

China is entering a new period characterized by reaching peak and carbon neutralization, and environmental taxes are increasingly crucial for breaking the "carbon curse" of resource-based cities. Accordingly, using the implementation of China's Environmental Protection Tax Law (EPT Law) as a quasi-natural experiment, this study utilizes the DID model to assess this environmental tax reform's effect in terms of reducing carbon emissions. The research results are as follows: (1) The environmental tax reform (ETR) reduced the intensity of carbon emissions; it additionally promoted reducing total carbon emissions from resource-based cities. (2) The carbon abatement effect can also be achieved by upgrading industrial structures and improving innovation in the area of green technology. (3) The ETR has impacted carbon abatement in resource-based cities more significantly in China's eastern region than in the central or western regions. In contrast, it had less effect on resource-based cities in the regenerative stage than on cities in other stages. (4) The spatial spillover effect of the ETR was significantly positive, aggravating the level of carbon emissions in neighboring cities. Thus, the "pollution haven hypothesis" was tested. Overall, this study deepens the knowledge of ETR and carbon emissions and provides theoretical support and policy suggestions for supporting resource-based cities in a green transformation.

Solar farm policy and farmland price - A land zoning perspective

Photovoltaic or solar energy is recognized as a significant source of renewable energy on a global scale. The utilization of ground-mounted solar panels is closely associated with the use of farmland, as solar power generation typically requires vast expanses of farmland. While previous studies have explored the use of price incentives to regulate the adoption of solar panels, little is known about the impact of land zoning policies on farmland prices. The relationship between farmland use policies and farmland prices is well-documented, with policies often capitalizing into the value of the land across various countries. The deployment of ground-mounted solar panels has raised concerns about the potential loss of farmland and the degradation of the farming environment. However, the policy debate has largely overlooked the price capitalization effect of solar panel installations. In an effort to mitigate the adverse effects of solar panels on agriculture, the Taiwanese government implemented revised zoning regulations that impose stricter limitations on small-scale ground-mounted type solar panels installed on farmland. As a result of this policy reform, solar panels are no longer permitted on farmland areas measuring less than 660 square meters. While it is expected that the installation of solar panels will slow down, the resulting price effects on farmland remain poorly understood. This paper measures the impact of the land zoning regulation on farmland prices in Taiwan. By utilizing nationwide data on farmland transactions and employing the difference-in-differences method, we discover that the tightened regulations pertaining to solar panel installation have led to a 21.8% reduction in farmland prices. Furthermore, the negative price effect is found to be least pronounced in high-productivity farmland. We also find that the decline in prices commenced two months after the reform and continued to intensify over time. Additionally, we identify a distributional effect concerning price, whereby farmland with higher prices per hectare experiences the most significant impact. Consequently, our study contributes an empirical analysis that confirms the substantial price capitalization effects of land zoning policies on farmland.

Does marine financial policy affect total factor productivity of marine enterprises? An empirical evidence based on Chinese first guidance on strengthening finance for marine economy

In order to accelerate the marine economic transformation, and promote the development of marine finance, the Chinese government has promulgated the first "Guidance on Improving and Strengthening Financial Services for the Development of the Marine Economy" in 2018. This paper constructs a quasi-natural experiment and explores the impact of this policy on the total factor productivity (TFP) of marine enterprises using the difference-in-differences method. The results show that the policy has consolidated the micro foundation of marine finance to accurately serve the high-quality development of the marine economy, and is mainly achieved by reducing financing constraints and optimizing resource allocation efficiency. The promotion effect of TFP is more evident in marine enterprises with secondary industry, tertiary industry, and low government subsidies. In addition, the policy can affect the financing structure of marine enterprises, which can reduce the financing cost of enterprises and increase the number of equity financing of enterprises.

China's pilot free trade zone and green high-quality development: an empirical study from the perspective of green finance

Achieving the integration of green and economic development has become the key to promoting high-quality economic development in China. In the context of dual-cycle development, a higher level of opening up will be an important prerequisite for achieving this goal. This article uses panel data from 30 provinces in China from 2008 to 2020 as the research sample and takes the establishment of the Pilot Free Trade Zone (PFTZ) as a quasi-natural experiment. By constructing the Green Dual-Cycle High-Quality Development (GDHD) indicator system, taking green finance as the starting point, industrial structure adjustment and technological innovation ability as the perspective of differentiation. This article uses the difference-in-differences method and the intermediary effect model to explore the impact of PFTZ on regional green high-quality development. The study found that establishing PFTZ has significantly promoted regional green high-quality development, and this effect remains valid under multiple robustness tests. Further research has found that, under the advantages of green finance in PFTZ, regional industrial restructuring and the improvement of green innovation capabilities are the main ways to achieve this goal. This study provides a new development path for China's PFTZ to promote high-quality regional development better.

Does long-term care insurance reduce the disability among middle-aged and older adults? Evidence from China

This study aimed to examine whether the implementation of Long-Term Care Insurance (LTCI) policy could reduce the disability among middle-aged and older adults in China, and to test the heterogeneity of the effects. Data came from four waves of the China Health and Retirement Longitudinal Study (CHARLS, 2011 to 2018). The Difference-In-Differences (DID) method and the panel data fixed effect model were used to estimate the effect of implementation of LTCI policy on disability among individuals aged 45 years and above. The LTCI policy had a positive impact on reducing disability among middle-aged and older people. Females, younger adults, city dwellers, and individuals living alone benefited the most from LTCI policy. The results provided empirical evidence for the implementation of LTCI policy in China and other similar countries as China. The implementation of LTCI policy should also pay more attention to inequity of the effects on reducing disability among different demographic groups.

Can regional joint prevention and control of atmospheric reduce border pollution? Evidence from China's 12th Five-Year Plan on air pollution

Border pollution is usually a difficult problem in environmental governance. Based on the data at the county level in China from 2005 to 2019, this study takes the 12th Five-Year Plan (FYP) for atmospheric pollution as a policy shock, and uses the difference-in-differences (DID) method to explore the impact of regional joint prevention and control (JPC) of atmospheric pollution policy on air pollution of the border regions. Empirical results show that: (1) After implementing the JPC of atmospheric pollution policy, the PM_2.5 concentration in the border regions is reduced by 3.5%. (2) The mechanism analysis shows that there is a spillover effect in the governing behaviors of local governments. In the border areas under low economic growth pressure and high environmental protection pressure, the reduction effect of the JPC of atmospheric pollution policy is more significant on the PM_2.5 concentration of the border regions. The research conclusions have new insights into the role and effect of macro-regional environmental JPC policy and border pollution control, and provide practical guidance for social green governance.

Can new-type urbanization promote the green intensive use of land?

An analysis of how new-type urbanization in China impacts the green intensive use of land not only provides us with an important reference basis, but also helps support decision-making when promoting new-type urbanization. This paper theoretically analyzes how new-type urbanization influences the green intensive use of land and takes the implementation of China's new-type urbanization plan (2014-2020) as a quasi-natural experiment. To empirically analyze the impact and mechanism of new-type urbanization on the green intensive use of land, we take the panel data of 285 Chinese cities from 2007 to 2020 and use the Difference-in-differences method. Results show that new-type urbanization facilitates green intensive use of land, a conclusion which is verified by several robustness tests. Furthermore, the effects are heterogeneous with respect to urbanization stage and urban scale, both of which exert a stronger driving effect in the later stages of urbanization and in large cities. Further analysis of the mechanism shows that new-type urbanization can promote green intensive land use through an innovation effect, a structural effect, a planning effect and an ecological effect.

Achieving carbon neutrality: the effect of China pilot Free Trade Zone policy on green technology innovation

Evaluating the effect of China pilot Free Trade Zone (FTZ) policy on green technology innovation is important for achieving China's carbon neutrality targets. Based on the panel data of 30 provincial administrative regions in China from 2009 to 2019, this study investigates the effect of the pilot FTZ policy on green technology innovation by using the difference-in-differences method. The study's findings indicate the following: (1) The pilot FTZ policy promotes the development of green technology innovation, and there is a policy lag in a few pilot regions. (2) The mediation effect analysis shows that the pilot FTZ policy promotes the development of green technology innovation by improving the marketization process and enhancing innovative talent gathering. (3) The heterogeneity analysis shows that the pilot FTZ policy is more effective in promoting green technology innovation when implemented in regions with developed economies or higher levels of human capital. Moreover, the pilot FTZ policy mainly has a significant promoting effect on green utility model patents. Based on these results, policy recommendations are proposed to promote the development of green technology innovation and the achievement of China's carbon neutrality targets.

How does carbon emissions trading scheme affect steel enterprises' pollution control performance? A quasi natural experiment from China

Taking advantage of a 2005-2018 sample of 86 Chinese steel enterprises (CSEs) and the difference-in-differences method, this paper utilizes the carbon emissions trading scheme (ETS) - as a quasi-natural experiment to investigate the impact of the carbon ETS on the total factor pollution control efficiency (TFPCE) of CSEs to test the green development effect of the carbon ETS. Then, the green development effect of the carbon ETS is empirically tested by a variety of robustness tests, such as DDD and PSM-DID. The results show that the carbon ETS policy significantly improves the TFPCE of CSEs located in the pilot area, generating the green development effect, and that this the annual effect lags by one year. Additionally, the channel analysis from the perspective of enterprise internal management and the external environment shows that strategic innovation, substantive innovation and institutional quality play a positive role in enhancing pollution control performance respectively. The heterogeneity test shows that the green development effect is better for state-owned CSEs and CSEs located in the eastern and central China. The conclusion has significant implications for green and low-carbon development in heavy pollution industries and has implications for further promoting the implementation of market-oriented environmental regulations.

The effect of mandatory environmental regulation on green development efficiency: evidence from China

The existing literature finds that mandatory environmental regulation (MER) can significantly reduce environmental pollution. However, much less is known about how the implementation of MER affects green development efficiency (GDE). Based on the Air Pollution Control Action Plan which was enforced in 2013 in China's most developed regions as an exogenous shock, we find that first, MER has a significant negative effect on the improvement of GDE by reducing regional scale efficiency. Second, MER mainly reduces the GDE of cities with stronger regulation intensities and with larger economic volumes. Third, MER also has a negative impact on regional green total factor productivity by changing technical progress. We suggest that when implementing MER, governments should enhance regional and global cooperation, promote green technology, and use comprehensive policy tools to stimulate firms' green innovation.

Do pilot free trade zones improve the green total factor productivity? Evidence from a quasi-natural experiment in China

China's pilot free trade zone (PFTZ) is an important national strategy to achieve high-quality development, so it is necessary to discuss the effect of PFTZ implementation on green total factor productivity (GTFP). Based on the data from 279 cities in China from 2004 to 2018, this study takes the establishment of PFTZ as a quasi-natural experiment and uses the difference-in-differences (DID) method to systematically evaluate the effect of PFTZ on urban GTFP. The empirical results of this paper are shown as follows: Firstly, the construction of PFTZ has a significant effect on urban GTFP, and this effect has increased gradually over time. Secondly, the construction of PFTZ mainly promotes the urban GTFP by increasing the level of science and technology innovation, reducing government intervention and improving the level of human capital. Thirdly, the effect of PFTZ construction on GTFP is more pronounced in regions with earlier waves of PFTZ and in western regions where environmental concerns are higher. In addition, there is a significant positive linkage between the construction of the PFTZ and the Belt and Road Initiative to improve the urban GTFP. The findings of this paper enrich the relevant literature on PFTAs and sustainable development and provide a theoretical basis for further promotion of PFTZ construction.

Does the construction of innovative cities promote urban green innovation?

As a typical example of an innovative governance environment, innovative city has become the focus of political and academic circles. Discussing the green innovation effect of this policy is beneficial in providing decision support for enhancing urban green innovation capability and solving the dilemma of urban resources. Based on data from 241 cities in China from 2005 to 2017, this paper takes innovative city construction as a "quasi-natural experiment" and uses the difference-in-differences method to empirically study the impact of China's innovative city construction on urban green innovation. The results show that innovative urban construction: has a positive effect on improving urban green innovation, and that this effect will gradually increase with time; promotes urban green innovation by expanding the scope of technology application, improving the efficiency of resource allocation and promoting the adjustment of industrial structure; and presents heterogeneity in cities' location, size and hierarchy. Finally, this paper proposes that the government should promote innovative policies in an orderly manner on the basis of following the principle of adapting measures to local conditions, as well as incorporating green innovation performance into the evaluation system for innovative city construction.

Benefits and costs of campaign-style environmental implementation: evidence from China's central environmental protection inspection system

Campaign-style environmental implementation (CEI) is widely exerted in environmental protection, while its benefits and costs are controversial. We take advantage of the Central Environmental Protection Inspection (CEPI) System-a latest and distinguished form of CEI launched by China in 2016, as a quasi-natural experiment, to compare the benefits and costs of CEI based on water pollution effect estimates. Our results based on the annual panel data from 500 cities during 2009-2018 show that CEPI significantly reduced water pollution by an average of 20.7%. Further cost-benefit analysis based on the estimates of water pollution reduction shows that the potential health benefits of mortality and morbidity reduction resulting from CEPI are at least $12.26 billion, without bearing additional economic costs. We also explore why CEPI is cost-effective and find that CEPI reduces water pollution and becomes cost-effective mainly through deterring local officials, punishing polluting enterprises, and increasing public participation in environmental governance.

Associations of the COVID-19 pandemic with the economic status and mental health of people affected by the Fukushima disaster using the difference-in-differences method: The Fukushima Health Management Survey

Although the coronavirus disease 2019 (COVID-19) pandemic and relevant preventive measures can affect the economic status and mental health of the public, their effect remains unraveled owing to a limited number of surveys conducted before and during the COVID-19 pandemic. We investigated the association of COVID-19 and relevant measures with multivariate outcomes among people affected by the Fukushima disaster in 2011 using the difference-in-differences (DID) method. We then analyzed the associations between sociodemographic factors and outcomes. We assessed psychological distress, problem drinking, insomnia state, unemployment, household economic decline, and interpersonal problems using three questionnaire surveys administered in 2018, 2019, and 2020. Participants were grouped according to three time periods by dates of voluntary stay-at-home requests (February 26) and the declaration of emergency (April 16) in Japan. The years 2020 and 2019 were regarded as the treatment group and control group, respectively, after confirming that no DIDs were found between 2018 and 2019. We performed regression analyses to identify the risk factors for outcomes. The DIDs were significant for household economic decline after the declaration of emergency, whereas problem drinking significantly improved. No significant DIDs were observed for other mental health outcomes including psychological distress and insomnia state. Absence of counselors was positively and significantly associated with all outcomes in 2020. Overall, people affected by the Fukushima disaster experienced more economic damage after the declaration of emergency during the COVID-19 pandemic but their mental health status did not reduce. Identifying people who have no counselors and providing them with support are emergent requirements to prevent a subsequent mental health decline.