Hongxin Yao
Glorious Sun Business and Management College, Donghua University, 200051, Shanghai, People`s Republic of China
Qian Wang
Glorious Sun Business and Management College, Donghua University, 200051, Shanghai, People`s Republic of China
ABSTRACT
Using the panel data of 284 Chinese cities from 2002-2010, the study examines the effect of environmental regulation on exports. In order to measure the stringency of environmental regulation on trade development under the constraint of industrial advantage in different regions, the sample is divided into eastern, central, western, Yangtze River Delta and Pearl River Delta five groups respectively. Considering the endogeneity of the environmental regulation variable, the study adopts system GMM to estimate the model for robust results. It turns out that the environmental regulation exerts different impact on trade pattern owing to the difference in industry foundation, technology accumulation and factor endowment etc. On the national degree, the environmental regulation has a positive effect on the export trade. It also plays an important role in promoting the exports of central district as well as strengthening the trade competitiveness of western district, but its influence on the eastern district is not statistically significant. Furthermore, it is shown that the environmental regulation has insignificant effects on Yangtze River Delta and Pearl River Delta, since the capital-intensive production patterns have been gradually formed in the two major economic zones.
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How to cite this article
Hongxin Yao and Qian Wang, 2013. Environmental Regulation, Region Industry Advantage and Trade Competitiveness. Information Technology Journal, 12: 7519-7526.
DOI: 10.3923/itj.2013.7519.7526
URL: https://scialert.net/abstract/?doi=itj.2013.7519.7526
DOI: 10.3923/itj.2013.7519.7526
URL: https://scialert.net/abstract/?doi=itj.2013.7519.7526
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