Search

Enhancing the green economy efficiency (GEE) is crucial for building a sustainable economy. How can the rapidly advancing digital transformation contribute to this process? The paper empirically examines the direct and spatial spillover effects of digital transformation on cities' GEE in China. This study utilizes the National E-commerce Pilot City (NEPC) policy as a quasi-natural experiment of regional digital transformation and employs the staggered difference-in-differences (DID) method with heterogeneous effects. The findings reveal that (i) implementing the NEPC policy significantly increases urban GEE by 2.6%, corresponding to a 16% increase in the mean of GEE. This effect is particularly pronounced in non-resource-based cities and cities with high Internet penetration. (ii) The mechanism test shows that the pilot policy positively affects GEE by promoting green structural transformation, enhancing green innovation, and strengthening public environmental concerns. (iii) The study highlights a positive spatial spillover effect of the NEPC policy on the GEE of nonpilot cities. (iv) The adoption of the NEPC plays a pivotal role in advancing energy use and carbon emission efficiency. This paper expands the existing knowledge on the green development effects of the digital economy while offering valuable policy insights for building an "Inclusive Green Economy". [Display omitted] • The staggered differences-in-differences method is employed to examine the direct and spatial spillover effects of NEPC on cities' GEE in China. • This paper uses NEPC as a quasi-experiment for digital transformation. • NEPC significantly improves green economic efficiency by 2.6%. • Green structural transformation, innovation, and environmental concerns are main channels. • Positive spillover effect of NEPC on green economy efficiency in non-pilot cities. [ABSTRACT FROM AUTHOR]

This paper presents an atmospheric vulnerability assessment framework based on CAMx that should be helpful to assess potential impacts of changes in human, atmospheric environment, and social economic elements of atmospheric vulnerability. It is also a useful and effective tool that can provide policy-guidance for environmental protection and management to reduce the atmospheric vulnerability. The developed framework was applied to evaluate the atmospheric environment vulnerability of 13 cities in the Beijing-Tianjin-Hebei (BTH) region for verification. The results indicated that regional disparity of the atmospheric vulnerability existed in the study site. More specifically, the central and southern regions show more atmospheric environment vulnerability than the northern regions. The impact factors of atmospheric environment vulnerability in the BTH region mainly derived from increasing population press, frequently unfavorable meteorological conditions, extensive economic growth of secondary industry, increased environmental pollution, and accelerating population aging. The framework shown in this paper is an interpretative and heuristic tool for a better understanding of atmospheric vulnerability. This framework can also be replicated at different spatial and temporal scales using context-specific datasets to straightly support environmental managers with decision-making. [ABSTRACT FROM AUTHOR]

China's industrial parks have been playing a crucial role on driving regional economy development, but also been posing threats to local environment due to intensive resource consumption and waste emission. Chinese government facilitated eco-industrial development of industrial park, aiming to output more with less environmental burden. In our study, the eco-efficiency levels of 40 Chinese industrial parks in 2012 were assessed and ranked by Data Envelopment Analysis (DEA). This paper applied indicators relevant to resource, economy, and environment from industrial parks which can well reflect the characteristics of eco-efficiency conforming to the concept of sustainability. This paper introduced how to adjust less sustainable parks to be more sustainable according to the DEA results. The roles of industrial added value per capita, industrial structure, environmental policy and development scale as influence factors of eco-efficiency were discussed. The results show that large differences exist in the eco-efficiency of different industrial parks. It is shown that 20% of the parks are relatively efficient. 47% of the study parks being inefficient in terms of scale efficiency show decreasing returns to scale. Policy implementations for the management of industrial parks were also discussed based on the results. [ABSTRACT FROM AUTHOR]

Accounting for the ecosystem service values (ESVs) and discussing the relationship between the ESVs and economic development can help achieve sustainable ecological development. Therefore, this paper evaluates the county-level ESVs of various land types in China, and depicts the distribution of ESVs in various urban agglomerations. In addition, the nonlinear relationship between ESVs and economic development is revealed. The main findings are as follows: (1) From 2000 to 2018, the ESVs in China decreased, and the decline rate of ESVs in urban agglomerations is much higher than that of China as a whole. (2) The decline rate of ESVs in core cities is much higher than in urban agglomerations, and the decline rate of ESVs is higher in areas close to core cities and lower in areas far from core cities. (3) The ecological Kuznets curve of China has a positive "U" shape, and the ecological Kuznets curve of urban agglomerations has an "N" shape; the ecological Kuznets curve of core cities has a positive "U" shape, while the ESVs of other cities decreases monotonically with the increase of the economic level. • This paper fills the data gap of ESVs at the county level in China. • The reduction rate of ESV in urban agglomeration is larger than the national level. • The reduction rates of ESV in core cities are larger than the urban agglomerations. • The ecological Kuznets curve is "U"-shaped in China. • Non-urban agglomeration cities are still left to the inflection point. [ABSTRACT FROM AUTHOR]

The number and total area of nature reserves in China has increased rapidly over the past couple of decades; however, the ability to effectively manage these reserves has not kept pace and conflicts between conservation efforts and economic development have emerged. The Snake Island-Laotie Mountain National Nature Reserve (SILMNNR) currently is experiencing the challenges of balancing conservation with local community development. This paper uses components analysis of human ecosystems (HEC) to examine conflicts arising from the management of the nature reserve and uses a stakeholder analysis to identify and better understand stakeholder inter-relationships in the SILMNNR-HEC. The goal of this study is to identify critical factors influencing stakeholder relationships in order to find ways of relieving conflicts between the reserve management and development. The stakeholder analysis revealed that the key stakeholders in the SILMNNR-HEC are natural resources, the Liaoning SILMNNR Authority, local residents, and enterprise developers; however, there was unequal power among stakeholders in the decision making process affecting the nature reserve. The paper evaluated the conditions and processes of SILMNNR-HEC through a framework of stakeholder relationships where critical factors, such as policy, finance, technology, and labor, and their respective strengths and feedbacks among stakeholders, were assessed and showed unequal flows of power among stakeholders. Two approaches are provided for transforming the unbalanced relationships into a stable and sustainable framework to sustainably manage the nature reserve: the first is by changing stakeholder relationships from opposition to cooperation; and the second by enhancing feedbacks and dynamics among stakeholders. The analysis used in this paper can be used as a model to assess conflicts around other protected areas in China and elsewhere. [ABSTRACT FROM AUTHOR]

Artificial intelligence (AI) has been proved to be an important engine of green economic development, yet how it will affect the internal structure of green economy is unknown. The aim of this study is to examine the impact and its mechanism of AI on green total factor productivity (GTFP) from the internal-structure perspective, by using provincial panel data of China from 2009 to 2021 and global Malmquist index. The main research results show that: (1) the development of AI contributes to China's GTFP growth. And this effect is more significant in undeveloped areas; (2) AI promotes China's GTFP growth mainly by improving resource allocation efficiency, while it exerts little impact through the paths of technological progress and scale efficiency; (3) the transmission mechanism of AI on GTFP varies greatly among China's three main regions. In the eastern region, AI improves GTFP mainly by both advancing technological progress and improving resource allocation efficiency, while in central region AI contributes to GTFP growth mainly through technological progress. Compared with the eastern and central regions, AI in the western region plays a stronger impact on GTFP through the channel of improving scale efficiency. This study helps to understand the pathways of artificial intelligence affecting the transformation of green economic growth and formulate differentiated regional policies in light of local conditions. • This paper studies the effects of AI on China's GTFP from internal-structural perspective. • GTFP is decomposed into three internal factors by the global Malmquist index. • AI has positive effect on GTFP through different impacts on internal factors. • Improving resource allocation efficiency is the most critical channel of AI on GTFP. • AI plays a more significant role in promoting GTFP in less developed areas. [ABSTRACT FROM AUTHOR]

In today's world, where economic development and environmental sustainability are becoming increasingly important aspects of national strategy, attention to the impact of different economic sectors on climate change is becoming an integral part of scientific research. This article focuses on analyzing the impact of primary and secondary economic sectors development on carbon dioxide (CO 2) emissions at the sub-national level in Russia from 2005 to 2019. The aim of the study is to provide an in-depth understanding of the relationships between the dynamics of these sectors and CO 2 emission levels in different regions of the country. Weighted regression and panel data methods were applied to better identify the patterns of the impact. The results show that the size of population and electricity consumption have the highest impact on CO 2 emissions. So that, the expansion of nuclear and gas generation capacity, as well as significant improvement of energy efficiency, are of crucial importance to reduce the emissions. Other sectors have a heterogeneous impact and requires more differential approaches, considering the specifics of regions. Taking into account the significant differences between the Russian constituent entities, this paper emphasizes the low informativeness of assessments at the national level and their inadequacy in terms of improving the efficiency of domestic management, including decarbonization policies. • The impact of considered economic sectors on CO 2 emissions were analyzed in 80 Russian constituent entities in 2005–2019. • Weighted regression and panel data methods were used to catch the specifics of Federal districts and constituent entities. • Population size and electricity consumption have the highest impact on CO 2 emissions. • Increasing energy efficiency and modernization of energy facilities are the most promising solutions to reduce the emissions. [ABSTRACT FROM AUTHOR]

Green investment transformation is the main interval difference of the Belt and Road Initiative, however, its actual effects are still uncertain. Finding out its utility, mechanism and improvement on green economy may accelerate green development. In this paper, Slack Based Measure model is used to obtain original results, Super-Efficiency model is used to sort effective decision-making units for stronger efficient frontier and Minimum Distance to Strong Efficient Frontier model is used to narrow gaps between non-effective ones and real situations. Then Global Malmquist-Lunberger index makes results dynamisation. Samples of 51 countries joining the Belt and Road Initiative from 2008 to 2022 are used in above-mentioned models to portray green economic dynamics. Then utility, mechanism and improvement of green investment transformation on green economy are studied through econometric model. The findings show that (i) Green Belt and Road Initiative makes green economic development more stable. The standard deviation decreases by 96.53% and mean maintains in 1.5. However, disconnection between a 36.36% increase of pure technological change and a 24.83% decline of its scale effect inhibits technical advance. (ii) Share of countries obtaining green scale revenues reaches 56.86%, which realizes a 52.64% increase. Furthermore, gaps between countries with positive status and those with negative status narrow 68.42%. Positive group accounts for 50% in developed countries and 46.15% in developing countries. (iii) Performance of Green Belt and Road Initiative is better than the Belt and Road Initiative. A one standard deviation increase in green investment transformation increases green economic development by 0.2705 (0.2105), which is a 18.57% (14.45%) increase relative to average green economic development of 1.457. Former's strengths also reflect in different quantiles, lagging effect and heterogeneity analysis. (iv) Green investment transformation of Green Belt and Road Initiative broadens more reliable mechanism (Promote Innovation - Strict Regulation - Ensure Commercialization) based on original one (Improve Efficiency - Decrease Costs - Increase Revenues) of the Belt and Road Initiative. (v) For the green investment transformation with government subsidies, property rights protection, investment environment stability and exchange cooperation, magnitudes of its effects on green economic development have significant increases by 25.03%, 31.77%, 8.01% and 10.12% respectively. The findings not only help understand green economic status, but also support some policy insights for achieving green economy by discovering utility, mechanism and improvement of green investment transformation. [Display omitted] • Portraying green economic dynamics in countries joining the Belt and Road Initiative. • Analyzing interval difference, and then exploring the intrinsic driver. • Distinguishing technical performance and imitable benchmarks of individual characteristics. • Empirically testing effects of green investment transformation on green economic development. [ABSTRACT FROM AUTHOR]

In the context of remarkable economic growth and financial development in the emerging economies of East Asia, this paper attempts to shed light on the ecological consequences (CO2 emission) of economic growth, foreign direct investment and financial development in the selected ASEAN-5 economies. Drawing on the data from 1982 to 2014, we employed a set of quantitative techniques for panel data analysis which entailed Dynamic Ordinary Least Squares (DOLS) and Fully Modified OLS (FMOLS) approaches. Our findings indicate that financial and economic development, as well as FDI, have a statistically significant long-run co-integrating relationship with environmental degradation (CO2 emissions) in the under analysis economies. It showed that in ASEAN-5 countries, economic growth, financial development and FDI leads to an increase in environmental degradation. The quadratic term for economic growth showed a negative impact on environmental degradation i.e. Environmental Kuznets Curve (EKC). Our key findings manifest and emphasise the importance of appropriate policies for more inclusive economic and financial development and sustainable foreign direct investment which does not impede on the environment. Image 1 • Remarkable economic growth, financial development and FDI Influx weighs on the environmental quality in ASEAN. • Financial and economic development and FDI have a significant long-run relationship with environmental degradation. • Weak evidence of Environmental Kuznets Curve (EKC). • FDI leads to environmental degradation in ASEAN i.e. support for Pollution Heavens Hypothesis (PHH) in ASEAN. • Different aspect of financial development has varying impact on the Environmental degradation. [ABSTRACT FROM AUTHOR]

Abstract The introduction of effective solid waste management strategies in developing countries should be considered for improving sustainability at global level. Many barriers should be overcome, concerning the introduction of environmental policies, effective investments, social inclusion and public awareness, which are significant issues in low-middle income countries. The Circular Economy could represent the answer for improving current solid waste management activities worldwide, since denote the principle of waste valorization and recycling for boosting developing economies. This paper is focused on this theme, analyzing main opportunities for improving the current state of solid waste management in developing big cities. The solid waste management of two countries are reviewed: Romania is the emerging country where Circular Economy is becoming a future objective due to economic aids and strength regulations which the European Union (EU) established for the nations forming parts the alliance; as a comparison, Bolivia is reported for evaluating main differences founded for developing recycling systems in a no-EU country. These two case studies could be of interest for highlighting main pros and cons of the participation into a wide organization like the EU for introducing in short terms Circular Economy principles. Moreover, a theoretical Circular Economy model for developing big cities in low-middle income countries is described within the study for effectively comparing which chances can spread for these countries as regard municipal solid waste exploitation. Despite the economic level, Romania and Bolivia are both facing with many solid waste management issues although in different magnitude. For the Romanian case study, it is visible how it cannot achieve the European goals for 2020 due the need of change in public recycling behavior. Bolivia, instead, represents the case where international aids and new investments are required, considering the informal sector into the formal management system as a real opportunity for improving local recycling rate. In conclusion, the comparison suggests how external supports led to implement the principles of the Circular Economy within a developing region. The model of Circular Economy proposed is recommended for developing big cities in order to advance a new form of safe employment, encouraging the activities that are still in action (i.e. informal sector) and boosting the principles of sustainable development. Highlights • A circular economy model for developing countries was presented. • Solid waste management of Romania and Bolivia can be compared. • Municipal and "special" solid waste should be managed in an integrated manner. • Integrated regulations about solid waste are essential for developing countries. • The informal sector plays a key role on sustainable solid waste management. [ABSTRACT FROM AUTHOR]

Increased soil erosion on sloped land has become a significant environmental concern in China that has been attributed to human activities such as deforestation, over-cultivation, and over-grazing of livestock. In order to reduce soil erosion on sloped lands, the Chinese government has responded by implementing large-scale, ecological rehabilitation programs, including the “Grain for Green” reforestation project. This program involves financial incentives to transition farmers into other economic activities with the goal of reducing ecological pressures and degradation. Because of the scope and potential impacts from these programs, detailed research is needed to understand their social and ecological effects. This paper reports on research conducted in Tianquan County, Sichuan Province, and Wuqi County, Shaanxi Province, that evaluates the effects of the program upon local economies and household livelihood systems. The paper argues that the successful conversion of farmland under “Grain for Green” depends upon local government involvement, local economic development, and funding for local projects. Without economic development within rural economies, we conclude that farmers will remain dependent upon continued subsidy assistance to meet the policy’s ambitious environmental restrictions, thereby undermining the program’s long-term sustainability. [Copyright &y& Elsevier]

Abstract Consumption demands are final drivers for the extraction and allocation of natural resources. This paper investigates demand-driven natural resource requirements and spatial outsourcing within China in 2012 by using the latest multi-regional input-output model. Exergy is adopted as a common metric for natural resources input. The total domestic resource exergy requirements amounted to 125.5 EJ, of which the eastern area contributed the largest share of 44.5%, followed by the western area (23.9%), the central area (23.0%) and the northeastern area (8.6%). Investment was the leading final demand category, accounting for 52.9% (66.4 EJ) of national total embodied resource use (ERU). The total trade volumes of embodied resource were equivalent to 69.6% of the total direct resource input (DRI), mostly transferred from the central and western regions such as Inner Mongolia, Shanxi, Shaanxi and Xinjiang to the eastern regions such as Jiangsu, Zhejiang, Guangdong and Shanghai. The northeastern and eastern areas had physical net imports of 1213.5 PJ and 38452.6 PJ, while the central and western inland areas had physical net exports of 6364.5 PJ and 33301.5 PJ, respectively. Shanghai, Beijing, Zhejiang, Jiangsu and Guangdong had prominent ERUs which respectively were 101.6, 12.6, 11.7, 8.4 and 4.3 times of their DRIs. The ERUs of Inner Mongolia, Shaanxi, Shanxi, Ningxia and Guizhou were equal to only 17.6%, 25.3%, 27.9%, 46.0% and 50.2% of their DRIs, respectively. Regional uneven development resulted in imbalanced resource requirements across China. The findings can provide a deep understanding of China's resource-driven economic development mode, and contribute to reducing regional resource footprints and their environment outcomes under the "new normal economy". Highlights • Outsourcing resource requirements within China 2012 is systematically revealed. • Exergy is adopted as a common metric for various natural resources input. • 69.6% of national total resource requirements were transferred via domestic trade. • Regional resource use patterns under the "new normal economy" are identified. [ABSTRACT FROM AUTHOR]

Large dams represent a whole complex of social, economic and ecological processes, perhaps more than any other large infrastructure project. Today, countries with rapidly developing economies are constructing new dams to provide energy and flood control to growing populations in riparian and distant urban communities. If the system is lacking institutional capacity to absorb these physical and institutional changes there is potential for conflict, thereby threatening human security. In this paper, we propose analyzing sustainability (political, socioeconomic, and ecological) in terms of resilience versus vulnerability, framed within the spatial abstraction of a powershed. The powershed framework facilitates multi-scalar and transboundary analysis while remaining focused on the questions of resilience and vulnerability relating to hydropower dams. Focusing on examples from China, this paper describes the complex nature of dams using the sustainability and powershed frameworks. We then analyze the roles of institutions in China to understand the relationships between power, human security and the socio-ecological system. To inform the study of conflicts over dams China is a particularly useful case study because we can examine what happens at the international, national and local scales. The powershed perspective allows us to examine resilience and vulnerability across political boundaries from a dynamic, process-defined analytical scale while remaining focused on a host of questions relating to hydro-development that invoke drivers and impacts on national and sub-national scales. The ability to disaggregate the affects of hydropower dam construction from political boundaries allows for a deeper analysis of resilience and vulnerability. From our analysis we find that reforms in China's hydropower sector since 1996 have been motivated by the need to create stability at the national scale rather than resilient solutions to China's growing demand for energy and water resource control at the local and international scales. Some measures that improved economic development through the market economy and a combination of dam construction and institutional reform may indeed improve hydro-political resilience at a single scale. However, if China does address large-scale hydropower construction's potential to create multi-scale geopolitical tensions, they may be vulnerable to conflict – though not necessarily violent – in domestic and international political arenas. We conclude with a look toward a resilient basin institution for the Nu/Salween River, the site of a proposed large-scale hydropower development effort in China and Myanmar. [Copyright &y& Elsevier]

This paper estimates the efficiency of the power generation sector in the USA by using Window Data Envelopment Analysis (W-DEA). We integrate radial and non-radial efficiency measurements in DEA using the hybrid measure while we extend the proposed model by considering good and undesirable outputs as separable and non separable. Then in the second stage, we perform parametric and non-parametric econometric techniques in order to model the relationship between the calculated environmental efficiencies and economic growth in attaining sustainability. Our empirical findings indicate a stable N-shape relationship between environmental efficiency and regional economic growth in the case of global and total pollutants but an inverted N-shape in the case of local pollutants. This implies that attention is required when considering local and global pollutants and the extracted environmental efficiency scores. A clear message to policy makers and government officials is that climate change which calls for economic, environmental and social concern should be analyzed according to its dispersion and regional dimension. [ABSTRACT FROM AUTHOR]

Environmental non-governmental organizations (ENGOs) play an increasingly important role in the process of urban environmental governance, especially in some developing countries such as China. However, existing studies pay little attention to such an issue in China. In this paper, we consider 113 cities in China from the pollution information transparency index (PITI) list released by ENGOs as the treatment group and some other cities as the control group, and use the difference-in-differences (DID) model and propensity score matching DID (PSM-DID) model to explore the role of ENGOs in China's urban environmental governance. The results show that ENGOs play a significantly positive and robust role in China's urban environmental governance. Furthermore, using regression analysis for eastern, central, and western China, we find that the influence of ENGOs exists in eastern and central China rather than in western China. In addition, the results of the Placebo test indicate that the effect of ENGOs shows an upward trend since 2008. We suggest that ENGOs' role should be strengthened in China, and governments at various levels should take into account environmental information released by ENGOs and consider appropriate measures to improve local environment quality using the obtained information. [ABSTRACT FROM AUTHOR]

Production restriction is an environmental regulation adopted in China to curb the air pollution of industrial enterprises. Frequent production restrictions may cause economic losses for enterprises and further hinder their green transformation. Polluting enterprises are faced with the dilemma of choosing environmental protection or economic development. Using panel data on industrial enterprises in China from 2016 to 2019, this paper evaluates the impact of production restrictions on both enterprises' environmental and economic performance with regression models. The results show that production restrictions significantly drop the concentrations of SO2 and NOx emitted from polluting enterprises. Meanwhile, production restrictions have significant negative effects on operating income, financial expenses, net profit, and environmental protection investment. The mechanism analysis reveals that production restrictions mitigate air pollutant concentrations by increasing the number of green patents and improving total factor productivity, which also verifies the Porter hypothesis. However, there is a masking mediating effect of environmental investment, which indicates that the reduction of environmental investment hinders the enterprise's efforts to control air pollution. In addition, heterogeneous analysis shows that the economic shock on microenterprises is larger than that on small enterprises. Implementing production restrictions for microenterprises may be a way to eliminate their backwards production capacity. • Production restriction dropped air pollutants of polluting enterprises. • Production restriction has negative effects on business performance of enterprises. • TFP and green innovation are the mediating variables of pollution reduction. • The reduction of environmental investment hinders the pollution control. • The shocks to the business performance of microenterprises are larger. [ABSTRACT FROM AUTHOR]

Atmospheric pollution emissions have become a matter of public concern in recent years. However, most of the existing researches on NOx pollution are from the natural science and technology perspective, few studies have been conducted from an economic point, and regional differences have not been given adequate attention. This paper adopts provincial panel data from 2006 to 2013 and the LMDI model to analyze the key driving factors and regional dilemmas of NOx emissions. The results show that significant regional disparities still exit on NO x emissions and its reduction effect 27 provinces didn't accomplish their corresponding reduction targets. Economic development factor is the dominating driving factor of NO x emissions during the study period, while energy efficiency and technology improvement factors offset total NO x emissions in the majority of provinces. In addition, the industrial structure factor plays a more significant role in reducing the NO x emissions after 2011. Therefore, the government should consider all these factors as well as regional heterogeneity in developing appropriate pollution mitigating policies. It's necessary to change NOx emissions control attitude from original key areas control to divided-zone control, not only attaches great importance to the reduction of the original key areas, but also emphasizes the new potential hotspots with high NO x emissions. [ABSTRACT FROM AUTHOR]

The conversion of natural ecosystems to agricultural land and urban areas plays a threat to the protected areas and the natural ecosystems conservation. The aim of this paper is to provide an analysis of the agricultural expansion and its impact on the landscape spatial and temporal patterns in a buffer zone of a protected area located in the transition zone between the Atlantic Forest and Cerrado, in the State of São Paulo, Brazil. The land use and land cover were mapped between 1971 and 2008 and landscape metrics were calculated to provide a spatiotemporal analysis of the forest structure and the expansion of the croplands. The results showed that the landscape patterns were affected by the economic cycles. The predominant crop surrounding the protected area is sugar cane, which increased by 39% during this period, followed by citrus. This landscape change is connected to the Brazilian oil crisis in 1973. The rapid expansion of sugar cane was largely driven by Brazil's biofuel program, the “Proálcool” (pro-alcohol), a project in 1975 that mixed ethanol with gas for automotive fuel. The forest loss occurred mainly between 1971 and 1988, decreasing the forest cover from 17% in 1971 to 12.7% in 2008. Most of the forest patches are smaller than 50 ha and has low connectivity. Throughout the years, the fragments in the buffer zone have become smaller and with an elongated shape, and the park has become isolated. This forest fragmentation process and the predominance of monoculture lands in the buffer zone threaten the protected areas, and can represent a barrier for these areas to provide the effective biodiversity conservation. The measures proposed are necessary to ensure the capability of this ecosystem to sustain its original biodiversity. [ABSTRACT FROM AUTHOR]

This paper examines the effects of electricity consumption, economic growth and globalisation on the CO 2 emissions of top 10 electricity consuming countries. Taking annual data from 1971 to 2013, a panel cointegration approach is adopted where Fully Modified Ordinary Least Squares (FMOLS) and Dynamic Ordinary Least Squares (DOLS) methods are used to examine the long-run effects. Dumitrescu and Hurlin causality test is used to explore the directions of causality between the variables of interest. The empirical results reveal that there is a long-term association among these variables; and electricity consumption and economic growth positively and significantly affect the CO 2 emissions in these countries. In contrast, globalisation has significant negative impact on the CO 2 emissions implying the improvement of environmental quality. The findings also confirm the existence of the Environmental Kuznets Curve (EKC) hypothesis, the bidirectional causalities between economic growth and CO 2 emissions, between electricity consumption and CO 2 emissions, and between globalisation and economic growth in the sample countries. A unidirectional causality from economic growth to electricity consumption, from electricity consumption to globalisation and from globalisation to CO 2 emissions is also found. Policy guidelines are suggested in line of the findings. • The paper examines the effects of electricity consumption, economic growth and globalisation on the CO 2 emissions. • Fully Modified Ordinary Least Squares and Dynamic Ordinary Least Squares methods are used. • Electricity consumption and economic growth positively and globalisation negatively affect the CO 2 emissions. • Bidirectional causality between CO 2 emissions, and other three main variables is found. • A unidirectional causality from economic growth to electricity use and from globalisation to CO 2 emissions is revealed. [ABSTRACT FROM AUTHOR]

Green innovation activities of enterprises often fall into the dilemma of financing constraints. Hence, it is urgent that the financial system develops and becomes innovative, especially for a developing country like China. Existing literature mainly explores the influencing factors of green innovation from the environmental regulation, economic growth and government subsidies perspective. However, few papers critically study how digital finance influences green innovations. To explore the internal influencing mechanism of digital finance on the quantity and quality of green technology innovation, panel data of 271 prefecture-level cities from 2011 to 2019 in China is used. Based on theoretical analysis and empirical research, we get the following conclusions. First, digital finance can improve the quantity and quality of green technological innovation, which has become a significant driving force for green innovations in China. The results are still robust after the endogeneity tests. Second, the results of heterogeneous analysis indicate that the different dimensions of digital finance can improve green innovations. They include breadth of coverage, depth of use, and degree of digitization. The positive effect of digital finance is most substantial in eastern cities, followed by central cities, and weakest in western cities. Third, digital finance indirectly improves green innovation mainly by alleviating financing constraints. Our empirical results provide policy enlightenment for realizing the coordination of China's urban digital transformation and green economic development. • The effect of digital finance on the quantity and quality of green innovation is explored based on the actual background in China. • Digital finance has become a significant driving force for green innovation in China. • The different dimensions of digital finance can improve green innovations. • Digital finance plays a positive role in green technology innovation mainly by alleviating financing constraints. [ABSTRACT FROM AUTHOR]

Environmental water problems have become increasingly severe, with the coal-water conflict becoming one of the most difficult issues in large scale coal mining regions. In this paper, a bi-level optimization model based on the Stackelberg–Nash equilibrium strategy with fuzzy coefficients is developed to deal with environmental water problems in large scale coal fields, in which both the groundwater quality and quantity are considered. Using the proposed model, and fully considering the relationship between the authority and the collieries and also the equilibrium between economic development and environmental protection, an environmental protection based mining quotas competition mechanism is established. To deal with the inherent uncertainties, the model is defuzzified using a possibility measure, and a solution approach based on the Karush-Kuhn-Tucker condition is designed to search for the solutions. A case study is presented to demonstrate the practicality and efficiency of the model, and different constraint violation risk levels and related results are also obtained. The results showed that under the environmental protection based mining quotas competition mechanism, collieries attempt to conduct environmentally friendly exploitation to seek greater mining quotas. This demonstrates the practicality and efficiency in the proposed model of reducing the coal-water conflict. Finally, a comprehensive discussion is provided and some propositions is given as a foundation for the proposed management recommendations. [ABSTRACT FROM AUTHOR]

Due to insufficient understanding of human-water interaction, many water-related problems arise in watersheds, posing severe threats to the sustainability of watershed development. Although water environmental carrying capacity (WECC) is a powerful tool to support sustainable development of watersheds, few studies considered aquatic ecological factors and uncertainty in indicator values, leading to losses of sample information in the evaluation of WECC. This paper developed a systematic framework for comprehensive WECC assessment that included the indicator system and a novel variable fuzzy pattern recognition (VFPR) approach. The WECC index system incorporated aquatic ecological factors, and addressed uncertainties associated with the indicator values. The proposed VFPR-based assessment model could realize successive evaluation to retain more original information of the sample and distinguish similar result values by treating the sample as having a continuous degree of membership instead of the traditional point form. In addition, it could be more adaptable to various circumstances including extreme cases, and closely reflect the impacts of indicator changes on the results. The established evaluation framework has been applied to Dongjiang River Basin in Guangdong Province. The spatial differences and main influencing factors of WECC in the study area were analyzed. Results show that 50% and 16.7% of the sub-regions in the study area would be subject to a poor level of WECC under pessimistic and optimistic circumstances, respectively. WECCs in the upper and lower reaches are the best and worst, respectively, which is in line with the levels of economic development in the Dongjiang River Basin. The proposed method can also be applicable to many other problems involving numerous indicators. • Traditional VFPR model was improved from both model structure and model parameters. • A systematic framework was proposed for continuous and comprehensive evaluation of WECC. • Water ecology and the uncertainty in indicator values were considered in the index system. [ABSTRACT FROM AUTHOR]

The ecological compensation (EC) mechanism is an innovative institutional arrangement which can effectively realize the coordinated development of social-economic growth and ecological protection. The current research on the evaluation of the implementation effect of EC mechanism mainly focuses on its environmental performance, how the EC mechanism guides the economically underdeveloped areas in the upper reaches of the basin to embark on the road of high-quality economic development, especially the mechanism of how EC triggers the optimization and upgrading of industrial structure, it is a topic worthy of in-depth discussion. This study takes China's first cross-provincial horizontal EC mechanism pilot (Xin'an River Basin EC) as the research object and regards it as a quasi-natural experiment. This paper selects the annual panel data of the 11 cities involved from 2009 to 2019 and builds a DID model to study the mechanism of EC affecting industrial structure adjustment systematically. The results show that the EC mechanism mainly promotes the adjustment of the industrial structure in the pilot area through two paths, this is achieved by triggering the transfer of backward or highly polluting industries and promoting the upgrading of the industrial structure. At the same time, technological innovation plays a part intermediary role in the impact of EC to promote the upgrading of industrial structure. Further analysis found that the larger the funds of compensation input, the higher the assessment intensity, the better the effects are. Finally, this study puts forward relevant policy recommendations to further release the potential of the horizontal EC for the reference of decision-makers. • We evaluated the mechanism of ecological compensation (EC) on industrial structure. • EC affects the adjustment of industrial structure through industrial transfer and industrial upgrading. • Technology innovation plays a vital role in the process of EC mechanism guiding industrial upgrading. • The compensation amount and standard play a key role in the effectiveness of EC. [ABSTRACT FROM AUTHOR]

Abstract: In this paper, a dynamic model is developed in which coastal quality can be improved, restored, or maintained by two distinct user groups; this is done by identifying a context that ensures an increase (or a greater increase) in coastal quality in terms of specific features that characterise the user groups. The results demonstrate that integrated coastal management is always better than non-integrated management. Moreover, when there is a low degree of interest in maintaining the coastal use over time, only integrated community-based (CB) coastal management will increase the coastal quality. Even when the interest in maintaining the coastal use over time is high, an integrated CB approach is preferred if the willingness to pay for coastal improvements is great and the marginal inefficiency of investments in coastal improvements is low, because the coastal quality improves to a greater extent; if not, only an integrated top–down (TD) approach to coastal management will increase the coastal quality. These results suggest that developing countries should always adopt a CB approach; in contrast, developed countries should adopt a CB approach where local stakeholders attach direct values to the coastal quality, and adopt a TD approach where the general population attaches indirect (option or existence) values to coastal quality. [Copyright &y& Elsevier]

Abstract: Although human presence is one of the main characteristics of the Mediterranean identity since ancient times, a false dialectic between conservation and social–economic development has emerged in recent decades. On the one hand, an economic growth policy is taken as the paradigm of social–economic development; on the other hand, there is a multi-scale conservation policy, in which natural protected areas, as patches of preserved nature, are used as one of the main tools to deal with the challenge of sustainability. The Mediterranean Basin is the habitat of many unique species and one of the 25 main biodiversity hotspots in the world, and as a consequence a strong conservation policy has been used to protect environmental values. At the same time, Mediterranean countries are deeply involved in promoting strong economic growth policies, which are not always compatible with environmental ones. In this paper, Spain has been studied as one model of this situation. Due to political reasons, Spanish economic growth and conservationist policies were pursued together during the last 20 years. As a result, Spain owns one of the largest networks of natural protected areas in Western Europe, and at the same time it has experienced one of the strongest periods of economic growths in the European and Mediterranean context during the 1980s and 1990s. An historical series of resource use in five annual periods in the last 20 years of conservation policy, and the effects on the preservation of natural capital have been investigated by means of the eMergy (spelled with an ‘m’) synthesis approach, which was used to characterize the flow of environmental services supplied by ecosystems, but not in monetary terms. This study shows that Spain is becoming less self-sufficient and more inefficient in resource use, comprehensively measured in eMergy terms. A large part of Spain''s economy depends on imported goods and services, and most economic activities are based on tourist services and associated construction, which promotes intensification in the urban use of the territory and more intense environmental impacts and resource use intensification of those countries supplying the raw materials. The consequence is a decoupling of the Spanish economy from local environmental services and the increase of Ecological footprint of Spain, measured by means of eMergy-based indicators. In spite of the increase in number, area and associated budget of the natural protected areas and other conservation measures, the general sustainability of the nation is decreasing. [Copyright &y& Elsevier]

Rural areas in China suffer from various problems. The stagnating economic development and a lack of (sufficient) job opportunities and basic services, etc., lead to disadvantages for great parts of China''s population. In this context, the transport sector plays a crucial role for the development of rural settlements. Although the degree of undersupply varies between villages, the situation of Chinese villages is often worsened by an insufficient developed transport sector. Regarding mobility in rural China, major constraints and therefore challenges are the difficult access to the transport infrastructure, bad road conditions and the lack of public transport systems. Improvements within the transport sector can be regarded as crucial for the economic and social development of (rural) China and should be carried out in a sustainable and holistic manner using participatory approaches. The aim should be the development of mobility strategies considering the specific needs within the field of transport, which shall have a decisive and positive impact on related sectors. This paper is based on experiences made during the 3 years lasting Sino-European research project SUCCESS (Sustainable Users Concept for China Engaging Scientific Scenario) that analyses the present and the potential future role of transport systems in selected rural areas of China. Referring to the case studies of three villages in rural China, some mobility-related projects that present a favourable impact not only on the transport sector but also on the social system and the economy shall be highlighted. Finally, based on the analysis, instruments and measures for the development of a pathway to a sustainable mobility in rural China will be outlined. [Copyright &y& Elsevier]

Water pollution from small rural industries is a serious problem throughout China. Over half of all river sections monitored for water quality are rated as being unsafe for human contact, and this pollution is estimated to cost several per cent of GDP. While China has some of the toughest environmental protection laws in the world, the implementation of these laws in rural areas is not effective. This paper explains the reasons for this implementation gap. It argues that the factors that have underpinned the economic success of rural industry are precisely the same factors that cause water pollution from rural industry to remain such a serious problem in China. This means that the control of rural water pollution is not simply a technical problem of designing a more appropriate governance system, or finding better policy instruments or more funding. Instead, solutions lie in changes in the model that underpins rural development in China. [Copyright &y& Elsevier]

This paper investigates the relationship between economic growth, biodiversity loss and efforts to conserve biodiversity using a combination of panel and cross section data. If economic growth is a cause of biodiversity loss through habitat transformation and other means, then we would expect an inverse relationship. But if higher levels of income are associated with increasing real demand for biodiversity conservation, then investment to protect remaining diversity should grow and the rate of biodiversity loss should slow with growth. Initially, economic growth and biodiversity loss are examined within the framework of the environmental Kuznets hypothesis. Biodiversity is represented by predicted species richness, generated for tropical terrestrial biodiversity using a species-area relationship. The environmental Kuznets hypothesis is investigated with reference to comparison of fixed and random effects models to allow the relationship to vary for each country. It is concluded that an environmental Kuznets curve between income and rates of loss of habitat and species does not exist in this case. The role of conservation effort in addressing environmental problems is examined through state protection of land and the regulation of trade in endangered species, two important means of biodiversity conservation. This analysis shows that the extent of government environmental policy increases with economic development. We argue that, although the data are problematic, the implications of these models is that conservation effort can only ever result in a partial deceleration of biodiversity decline partly because protected areas serve multiple functions and are not necessarily designated to protect biodiversity. Nevertheless institutional and policy response components of the income biodiversity relationship are important but are not well captured through cross-country regression analysis. [Copyright &y& Elsevier]

Although Asian economies have registered strong economic growth over the last few decades, their growing pollution emissions raise concerns among the policymakers about the sustainability of this output growth. This paper tests the causal relationship between economic development, energy consumption, trade openness, financial development, FDI, government expenditures, institutional quality. and pollution emissions for 41 Asian economies from 1996 to 2015. Further, we separately test the impact of political and economic institutions on pollution emissions of the sample economies. Our estimated outcomes, based on the panel cointegration method and panel vector error correction models (VECM), substantiate the presence of a cointegration relationship among all the selected variables. While economic development, energy use, trade openness, and FDI augment environmental degradation, financial development and better economic institutions help the selected countries in reducing their pollution emissions. Moreover, better economic and political institutions also mediate the adverse impact of income, trade openness, and FDI on pollution emissions. The VECM model shows that per capita GDP is the only variable having a causal effect on pollution emissions in all the models. For all the other variables, the causal effect is significant only in a few cases. These outcomes have some important policy recommendations for the sample economies. • We test the direct and indirect effect of institutional quality on CO 2 emissions. • Institutional quality contributes to the reduction of CO 2 emissions in Asia. • Institutional quality also moderates the adverse effects of income on CO 2 emissions. • Policy makers should incorporate the role and efficiency of institutional quality. [ABSTRACT FROM AUTHOR]

This paper is a pioneering endeavour to investigate the determinants of environmental degradation in Australia through a comprehensive framework of EKC and STIRPAT. Specifically, the impacts of multiple factors of socio-economic development including economic growth, trade openness, industrialization, energy consumption on CO 2 emissions are analysed. Furthermore, the influences of financial development through different dimensions (financial efficiency, access and depth) in two subsectors (financial markets and institutions) and other proxies of financial development are focused over the period 1980–2014. Empirical results show short as well as long-run differences in the association among the variables. Short-term bidirectional causality prevails between economic growth, energy consumption, industrialization, and stock market development with carbon dioxide (CO 2) emissions. However, there is no significant evidence found on EKC. This is due to the long-run positive impact of financial development, energy consumption, and trade openness on CO 2 emissions. Interestingly, the industrialization process is found to does not affect CO2 emissions. Empirical findings provide insight into why the quality of the Australian environment is truncated with frequent and widespread bushfires and suggest policymakers to have selective and strict environmental-friendly strategies to fulfil a sustainable development goal. • Study analysis determinants of environmental degradation in Australia. • Economic growth, trade openness and energy consumption contribute to CO 2 emissions. • Industrialization process has no statistically significant impact on CO 2 emissions. • Financial efficiency, financial access and financial depth affect the CO 2 emissions. • Financial markets and institutions play a vital role in increasing CO 2 emissions. [ABSTRACT FROM AUTHOR]

Eco-efficiency can effectively measure the relationship between economy, resources, environment, and development. Understanding eco-efficiency is of great practical significance for decision makers tasked with addressing and delivering sustainable socioeconomic development. Based on an "undesirable output Slacks-Based Measure models," this study evaluated the eco-efficiency of 285 Chinese cities during the period 2004–2014, analyzing spatiotemporal dynamics and influencing factors using a Spatial Autocorrelation Panel Data Model. The main results are as follows: From the spatial perspective, eco-efficiency in Chinese cities generally evidenced an M-shaped trend (increasing-decreasing-increasing-decreasing), and imbalanced spatiotemporal dynamics. Furthermore, the urban eco-efficiency generally presented a distinct convergence of HH cluster and LL cluster clubs, with the latter being the most dominant. From the regional point of view, there existed a decreasing trend in the efficiencies of cities, from eastern China to central and western China. In addition, we identified significant differences in the eco-efficiency of different cities in China, and the coefficient of variation of eco-efficiency showed a general decrease. The results of our estimation of the factors affecting urban eco-efficiency showed that the economic development level, the industrial structure, import and export trade, and the information level all had significant positive influence, and local government expenditure, social retail sales of consumer goods, and infrastructure all had a negative effect on urban eco-efficiency. This paper puts forward numbers of suggestions for ways to promote social, ecological, and economic development in Chinese cities, based on our findings. • China's city-level eco-efficiency were estimated using undesirable output SBM model. • Eco-efficiency in China presents significant spatial and temporal distribution characteristics. • Effects of socioeconomic development were explored using spatial autocorrelation panel data model. • Economic development, industrial structure, import and export trade had significant positive impact. • Local government expenditure, social retail sales of consumer goods, and infrastructure had a negative effect. [ABSTRACT FROM AUTHOR]

This paper aims to examine the worldwide interactions between income inequality and carbon emissions, and the nonlinear threshold roles of globalization, income inequality and economic growth. To fulfill this task, we propose a dynamic panel threshold model with cross-sectional dependence, based on a balance panel data of 92 countries over the period 1991–2015. The results suggest the presence of nonlinear effects of threshold variables, which have asymmetric impacts on the negative relationships between income inequality and carbon emissions. Further, we find that the promotion of globalization significantly contributes to reduce the effect of income unfairness improvement on the increase of carbon emissions, and this similar effect could also be achieved through shrinking income inequality per se and spurring economic growth. We therefore suggest the stakeholders keep working on pushing the reinforced trend of globalization when weighting the trade-offs between income inequality alleviation and carbon emission mitigation. • We propose a dynamic panel threshold model with cross-sectional dependence. • An emission-income balance panel of 92 countries over the period 1991–2015 is developed. • There exist significantly negative relations between income inequality and carbon emissions. • Nonlinear threshold effects are found in the interactions between carbon and income inequality. • Economic development and reinforced trend of globalization should be put on top agenda. [ABSTRACT FROM AUTHOR]

The carbon-emission transfer between two representative developing economies - China and Africa - behind the international trade has aroused quite a few controversies, which have not been fully estimated and understood yet. In this paper, the Multiregional Input-Output (MRIO) method is applied to the participants of Forum on China-Africa Cooperation (FOCAC) from the global perspective to reveal the roles both China and Africa have played in the global supply chain as either the original emitter or the final consumer, and to depict the evolution pattern of carbon transfer via Sino-Africa trade from the year 2000–2015. The findings are as follows: 1) China has played the role of net exporter of embodied carbon-emission in Sino-Africa trade, for the amount of emitted carbon China had born yet resulted by consumption in Africa well surpassed that vice versa. 2) Compared to the carbon-emission flows embodied in EU-Africa and US-Africa trades, China has shouldered more carbon-emission derived from Africa's consumption. 3) The sectoral contribution and intensities of embodied carbon-emission correspond to the trading pattern between China and Africa, which stems from the two parties' comparative advantages and economic complementarity. 4) The intensities of embodied carbon-emission on both sides are declining towards a rosy prospect, which indicates an improving carbon-emission efficiency of both economies. From a global perspective, both China and Africa play a positive part in carbon-emission reduction. The results in this study can facilitate low-carbon and high-efficiency trading link between the two economies. • Historical trend of embodied carbon transfer between China-Africa Forum participants is explored. • Carbon-emission in China related to Africa's consumption well surpassed that vice versa. • Sino-Africa trade has relieved the carbon-emission pressure on Africa's economic development. • Sectoral contribution of embodied carbon-emission reflects the complementarity between China and Africa. • Embodied carbon-emission intensities of both China and Africa have declined. [ABSTRACT FROM AUTHOR]

This paper contributes to the growing literature regarding the role of Information and Communication Technologies as well as Innovation on driving the level of carbon dioxide emissions and economic growth in context of the 21st conference of the Parties to the Climate convention (COP21). Drawing the data from 13 selected G-20 countries (including Argentina, Canada, China, France, Germany, Italy, Japan, Mexico, Republic of Korea, Russian Federation, Turkey, United Kingdom, United States) during the period of 15 years, our study achieves significant results. First, only five factors impede the carbon emissions namely energy price, foreign direct investment, technology, spending on innovation and trade openness while the remainder of determinants contribute to contamination of environment, including financial development. Second, when it comes to economic growth, information and communication technological and financial development are positive driving factors. Our results do reject the absence of Environmental Kuznets Curve (EKC) from our sample. Finally, our study empirically suggests that the work of controlling consumption of oil and environmentally friendly process including manufacture-trading in these economies will limit the amount of pollution. • GDP per capita, energy consumption and financial development lead to an increase in CO2 emissions. • The effects of FDI, trade openness, and oil prices on CO2 emissions are negative following the pollution-halo hypothesis. • There is a negative relationship between ICT, innovation and CO 2 emissions in these selected G20 countries. • To some extent, measures of ICTs and financial development tend to boost the economic growth in these countries. [ABSTRACT FROM AUTHOR]

China's economic development has entered a "new normal" stage where economic growth has slowed down. In this context, China's local authorities and industry circles are particularly concerned about the impact of emissions trading scheme (ETS), China's first major market-based approach to control greenhouse gas emissions, on competitiveness. This paper contributes to the thin empirical studies on this issue from the perspective of China's provincial industrial sub-sectors. We divide the industry of each province into 37 sub-sectors and screen the actual industrial sub-sector coverage of China's pilot ETSs. Taking advantage of the rich information of sub-sector characteristics and the longitudinal structure of our dataset over 2005–2015, we use a combination of propensity score matching technique and difference-in-difference models to analyze the impact of China's pilot ETSs on gross industrial output value (GIOV) and employment. Empirical results indicate that China's pilot ETSs have exerted a negative impact on the GIOV, and production cut is still the major approach to achieve carbon emission reductions. We also find China's pilot ETSs have led to a significant decrease in employment of the covered industrial sub-sectors. Several robustness checks confirm our findings. Further, our discussions suggest that in the short term, China's pilot ETSs have not promoted the "decoupling" of carbon emissions and economic outputs in industrial sub-sectors. While achieving carbon emission reductions, the pilot ETSs have failed to avoid a negative impact on competitiveness. Lastly, we suggest that competent authorities should prudently tailor the quota allocation methods according to sectorial conditions and consider setting up compensation measures, and covered enterprises should incorporate low-carbon development concept and address the challenges proactively from the long run. • China's pilot ETSs reduced the gross industrial output value of covered sub-sectors. • China's pilot ETSs decreased the employment of the covered industrial sub-sectors. • China's pilot ETSs did not decouple economic outputs from carbon emissions. [ABSTRACT FROM AUTHOR]

As cities are the center of human activity and the basic unit of policy design, they have become the focus of carbon dioxide reduction, especially metropolitan areas that are high energy consumers and carbon dioxide emitters in countries such as China. The fact cities differ in their levels of development and stages of industrialization points to the need for tailor-made low-carbon policies. This study is the first to consider cities' different phases of industrialization when analyzing city-level emission patterns and drivers, as well as the decoupling statuses between economic growth and their emission levels in China. The results of 15 representative cities at different phases of industrialization show that various decoupling statuses, driving factors and decoupling efforts exist among cities, and that heterogeneity among these factors also exists among cities at the same industrialization phase. For further decomposition, energy intensity contributed the most to emissions reduction during the period 2005 to 2010, especially for cities with more heavy manufacturing industries, whereas industrial structure was a stronger negative emission driver during the period 2010 to 2015. Based on those findings, we suggest putting into practice a diversified carbon-mitigation policy portfolio according to each city's industrialization phase rather than a single policy that focuses on one specific driving factor. This paper sets an example on emissions-reduction experience for other cities undergoing different industrialization phases in China; it also sheds light on policy initiatives that could be applied to other cities around the world. • LMDI is applied to identify emission drivers of different industrializing cities. • Energy intensity is the dominant driver of emission reduction in cities. • Industrial structure became more crucial in emission reduction after 2010. • Emission drivers vary among cities in different industrialization phases. • City-diversified emission reduction policy portfolios should be designed. [ABSTRACT FROM AUTHOR]

For most developing countries, local government faces a trade-off between economic growth and environmental protection. The intentions towards having a better environment as the economy grows will trigger a shift in the priorities of local government from economy to environment at a certain level of economic development. To investigate the "pollute first, control later" path in China and how environmental regulation performs differently due to economic development, this paper develops a conceptual model to depict the nexus between economic growth and environmental improvement. A panel threshold model is estimated based on Chinese data from different spatial scales – 30 provinces and 105 environmental monitoring cities. The results validate the threshold of economic development of approximately CNY 90,000 GDP per capita, which represents the turning point for the local government priority change; such that only when it is exceeded does environmental regulation significantly reduce emissions. Until 2016, only 4 provincial districts and 35 prefecture-level cities have crossed the threshold, these being mostly in the more prosperous eastern coastal areas. The results emphasize the need to consider timeliness when evaluating the effectiveness of environmental regulation and highlight the importance of adopting differentiated governance. Moreover, the need to enhance the effectiveness of environmental regulation requires driving the change of local government's priority to the environment and strengthening the institutional capacity of environmental protection agencies. • A conceptual model of local government's goals of economic growth and environmental protection. • Panel threshold model to find the economic threshold of effective environmental regulation. • Environmental regulation is effective only if regional GDP per capita exceeds CNY 90,000. • Timeliness and differentiation should be considered for environmental governance. [ABSTRACT FROM AUTHOR]