The Impact of Pollution Events on the Productivity of Related Industries:A Case Study of Cadmium-Contaminated Industry
Zhiwei Sheng,
Luye Ji and
Fan Zhang
Applied Economics, 2023, vol. 55, issue 28, 3238-3254
Abstract:
This research aims to explore how environmental pollution events affect total factor productivity in related industries in China. The results of the research found that (1) Cadmium-contaminated rice cases had negative impacts on the related industry after a time delay by reducing the production scale and investment in R&D to improve productive efficiency, therefore decreasing the total factor productivity. Rising public awareness significantly expanded the negative impact of environmental pollution events. (2) The more sophisticated environmental regulations at the provincial level, the more obvious the total factor productivity decreased after cadmium-contaminated rice cases. The effect of existing environmental regulations at the municipal and county levels was not satisfactory. (3) Cadmium-contaminated rice cases had a greater negative impact on East and Central China than other regions. The result also indicates cross-regional pollution transfer for the purpose of regulation evasion.
Date: 2023
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Persistent link: https://EconPapers.repec.org/RePEc:taf:applec:v:55:y:2023:i:28:p:3238-3254
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DOI: 10.1080/00036846.2022.2110213
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