Impact of environmental regulation intensity and digital economy on regional environmental penalties

Miaomiao Chui, Yinglong Zheng, Tao Peng and Dinghao Shi

Finance Research Letters, 2025, vol. 79, issue C

Abstract: By selecting data related to environmental protection and digital economy in 31 provinces and municipalities in China from 2010 to 2022 as the research sample, this study explores the interplay among environmental regulation intensity, digital economy, and regional environmental penalties. Findings indicate that increasingly stringent environmental regulations decrease regional environmental penalties. Furthermore, the advancement of digital financial inclusion as digital economy's indicator reveals its moderating effect on the relationship between environmental regulations and regional penalties, exhibiting variations across distinct regions. The extent of technological innovation has a similar effect on the relationship between environmental regulations and regional penalties, with notable differences across regions.

Keywords: Environmental regulation intensity; Digital economy; Regional environmental penalty; Extent of technological innovation (search for similar items in EconPapers)
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:eee:finlet:v:79:y:2025:i:c:s1544612325005392

DOI: 10.1016/j.frl.2025.107276

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