Does industry upgrade transfer pollution: Evidence from a natural experiment of Guangdong province in China. (20th August 2019)

• Record Type: Journal Article
• Authors: Wei, Dongxia; Liu, Yuan; Zhang, N.
• Is Part Of: Journal of cleaner production. Volume 229(2019)
• Page Start: 902
• Page End: 910
• Publication Date: 2019-08-20
• Subjects: Industry upgrade -- Pollution transfer -- Natural experiment -- China; Factory and trade waste -- Management -- Periodicals; Manufactures -- Environmental aspects -- Periodicals; Déchets industriels -- Gestion -- Périodiques; Usines -- Aspect de l'environnement -- Périodiques; 628.5
• DOI: 10.1016/j.jclepro.2019.04.294
• Languages: English
• ISSNs: 0959-6526

Abstract

Abstract: China pushes industry upgrade by relocating the backward industry from the eastern regions to the middle and western areas, but rare studies examine its environment impact. By using the prefecture-level panel data and the Difference in Differences method, we evaluate the environment outcome of the industry upgrade in Guangdong province since 2008. We find that the industry upgrade in Pearl River Delta brings pollution in the less developed regions, representing by more volume and intensity in industrial waste gas and solid wastes, not in industrial waste water as the water polluted industries are prohibited from being transferred. Regional analysis shows that eastern Guangdong sees a faster growth in the three pollutants, and western Guangdong and the three cities adjacent to the core cities in Pearl River Delta witness a faster growth in waste gas; western and northern Guangdong, where the main rivers are polled into the Pearl River, show a decline in industrial waste water. The channel check reveals that the industry upgrade transfers pollution both by more industry production and more polluted industry in the less developed regions. Consequently, the industry upgrade in Pearl River Delta does transfer pollution within Guangdong, depending on the policy option and regional location.