Coordination or contradiction: Evidence from water and air pollution regulation in China

Yumeng Huang, Mingdong Jiang, Yang Bai, Pujie Zhao and Qi Wang

Energy Economics, 2023, vol. 127, issue PB

Abstract: Using a difference-in-differences strategy, we study the effects of simultaneous water and air pollution regulation on firms' emission behaviors and explore the driving forces behind their responses. It is found that in China's eleventh Five-Year Plan, there exists a contradiction between chemical oxygen demand (COD) and sulfur dioxide (SO2) regulation. We divide emissions into output and emission intensity to explore the underlying mechanisms and explain the regulatory interaction effects from perspectives of source prevention and end-of-pipe treatment. Also, we examine heterogeneous effects across firm size, firm age, and manufacturing agglomeration. Overall, this paper reveals whether coordination or contradiction exists among environmental regulation at the firm level, providing implications for policymaking and policy synergy.

Keywords: Environmental regulation; Interaction effect; China (search for similar items in EconPapers)
Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:eneeco:v:127:y:2023:i:pb:s0140988323005467

DOI: 10.1016/j.eneco.2023.107048

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