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The effects of environmental regulation on the industrial location of China’s manufacturing

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Abstract

Significant regional differences in Chinese environmental regulation stringency will affect regional location of China’s manufacturing. With reference to the classical trade model of interaction between industries and provinces and data from China’s manufacturing, we explore the impact of environmental regulations on the location of China’s manufacturing. The empirical results show that the environmental regulation has influence on the location of China’s manufacturing, and manufacturing tends to move to loosely regulated provinces from strictly regulated ones considering environmental regulation constraints. Provinces with easy environmental regulation efforts are more likely to attract polluting enterprises and become pollution haven.

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Acknowledgments

This work was supported by the National Natural Science Foundation of China (No: 71173116), the National Bureau of Statistics of China (No: 2014ly046), the Social Science Foundation of Jiangsu, China (No: 2012JDXM012), the Innovation Project of Universities’ Philosophy and Social Science in Jiangsu, China (No: 2015ZSTD006) and the China Institute for Manufacture Developing, Nanjing University of Information Science and Technology, China (No: SK20140090-21).

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Authors and Affiliations

  1. School of Management Engineering, Anhui Polytechnic University, Wuhu, 241000, Anhui, China

    Tonghui Lian

  2. School of Information Management, Nanjing University, Nanjing, 210023, Jiangsu, China

    Tonghui Lian

  3. School of Economics and Management, Nanjing University of Information Science and Technology, Nanjing, 210044, Jiangsu, China

    Tingyu Ma & Jie Cao

  4. China Institute of Manufacturing Development, Nanjing University of Information Science and Technology, Nanjing, 210044, Jiangsu, China

    You Wu

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  1. Tonghui Lian
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  2. Tingyu Ma
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  3. Jie Cao
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  4. You Wu
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Correspondence to Tonghui Lian.

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Lian, T., Ma, T., Cao, J. et al. The effects of environmental regulation on the industrial location of China’s manufacturing. Nat Hazards 80, 1381–1403 (2016). https://doi.org/10.1007/s11069-015-2008-z

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  • DOI: https://doi.org/10.1007/s11069-015-2008-z

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