EconPapers    
Economics at your fingertips  
 

Pollution halo or pollution haven: assessing the role of foreign direct investment on energy conservation and emission reduction

Zuocheng Chen, Krishna Paudel and Rongqing Zheng

Journal of Environmental Planning and Management, 2022, vol. 65, issue 2, 311-336

Abstract: This paper uses spatial econometric and the threshold effect models to study the effects of foreign direct investment (FDI) in China’s energy conservation and emissions reduction. We use provincial-level data on pollutants (CO2, wastewater emission, exhaust emission, and waste emission) available from 2001 to 2015. Results indicated that FDI not only promotes China’s “energy conservation,” but also improves China’s CO2 emission efficiency and environmental efficiency. We find that export-oriented foreign companies can significantly improve China’s energy efficiency and water quality. FDI enhances energy efficiency through eco-oriented technological progress and water quality, air quality through production-oriented technological progress. We also find that the impact of FDI on China’s energy conservation and emission reduction has significant threshold effects. Our findings contradict the often believed “pollution haven hypothesis.”

Date: 2022
References: Add references at CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
http://hdl.handle.net/10.1080/09640568.2021.1882965 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:taf:jenpmg:v:65:y:2022:i:2:p:311-336

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/CJEP20

DOI: 10.1080/09640568.2021.1882965

Access Statistics for this article

Journal of Environmental Planning and Management is currently edited by Dr Neil Powe, Dr Ken Willis and George Bill Page

More articles in Journal of Environmental Planning and Management from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().

 
Page updated 2022-09-29
Handle: RePEc:taf:jenpmg:v:65:y:2022:i:2:p:311-336