Theoretical and Empirical Analysis of China’s Fiscal Decentralization and Environmental Pollution——Based on Provincial Static and Dynamic Panel Data Model
Theoretical and Empirical Analysis of China’s Fiscal Decentralization and Environmental Pollution——Based on Provincial Static and Dynamic Panel Data Model
LIN Xiao-yu LI Qiang-yi,GUO Yin-yin
School of Economic Management Xinjiang University Urumqi 830046,China
Abstract This paper first theoretically clarifies the relationship between fiscal decentralization and environmental pollution and empirically researches the inherent relations between Chinese fiscal decentralization and the environmental pollution by using static and dynamic panel data model on the basis of 30 provinces in China from 1999-2010 panel data. The results show that there is positive correlated relationship between fiscal decentralization and environmental pollution, the increase of fiscal decentralization level doesnt help to reduce Pollutant emissions. Local governments may not do their efforts to control pollutant emissions. Meanwhile, The increasing proportion of secondary industry and the last period of pollutant emissions will aggravate the current level of environmental pollution , the inverted U type curve relationship is observed between per capita income and environmental pollution.
MA Xiao-Yu,LI Jiang-Yi,GUO Ying-Ying. Theoretical and Empirical Analysis of China’s Fiscal Decentralization and Environmental Pollution——Based on Provincial Static and Dynamic Panel Data Model. Economic Survey, 2013, 1(5): 0122.