Economic growth and the environment in China: An empirical analysis of productivity

Shunsuke Managi, Shinji Kaneko

Research output: Contribution to journalArticle

19 Citations (Scopus)

Abstract

China is an economic powerhouse with annual economic growth averaging close to 9% over the last 25 years. However, as a result of this extremely rapid economic growth, the scale and seriousness of its environmental problems are clearly evident. Consequently, a number of environmental problems, including growing energy consumption, heavy reliance on coal and increasing air pollution are threatening China's sustainable future. The principal focus of this paper is to measure total factor productivity within a joint-production model that considers both market and environmental pollution variables and employs unique province-level secondary industry data over the period 1992-2003. The results indicate that although China began implementing new environmental policies in the late 1970s, and although the stringency of these regulations is increasing, there is no short-term positive benefit associated with their implementation. However, some environmental productivity measures, such as wastewater treatment, have exhibited an increase in managerial efficiency.

Original languageEnglish
Pages (from-to)89-133
Number of pages45
JournalInternational Journal of Global Environmental Issues
Volume6
Issue number1
DOIs
Publication statusPublished - 2006
Externally publishedYes

All Science Journal Classification (ASJC) codes

  • Geography, Planning and Development
  • Management, Monitoring, Policy and Law

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