Does FDI Increase or Decrease China’s Industrial Carbon Emission? ——From the Perspective of Threshold Effects
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Abstract On the basis of FDI’s threshold effects mechanism from R&D investment, environmental regulation angles, using the panel data from 35 industrial sectors during 2000-2012 in China, with the non-dynamic threshold panel estimation, this article empirically study the threshold effects of FDI on industrial carbon emission. Results show that, there are quite significant threshold effects of FDI on industrial carbon emission from R&D investment and environmental regulation channel: When the R&D investment or environmental regulation is relatively low, the positive impact of FDI on industrial carbon emissions is very weak, and FDI may even increase industrial carbon emissions; when the industries’ R&D investment or environmental regulations is quite higher, FDI is very significant in reducing carbon emissions. The analysis on the number change and distribution of the higher R&D investment, the higher environmental regulation industrial sectors during the study period show that, the positive impact of FDI on industrial carbon emission abatement is gradually increased, and the entry level of FDI in most of high energy consumption, carbon emission industries is still low.
LI Zi-Hao. Does FDI Increase or Decrease China’s Industrial Carbon Emission? ——From the Perspective of Threshold Effects. Economic Survey, 2016, 33(2): 066.
2016, Vol. 33 
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