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Spillover effect of environmental investment: evidence from panel data at provincial level in China

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Abstract

This paper considers pollution density as a function of environmental investment. The higher environmental investment, the lower pollution density. The lower the pollution density is the higher production technology becomes. This is called the spillover effect. We collected China's panel data at the provincial level from 2005 to 2009, and tested the spillover effect of environmental investment. This paper finds that the environmental investment influenced production technology positively. There is a significant positive relation between government expenditure and spillover effect.

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Authors and Affiliations

  1. School of Environmental Science and Engineering, Tianjin University, Tianjin, 300072, China

    Qunhui Lin & Guanyi Chen

  2. School of Economics & Business Administration, Beijing Normal University, Beijing, 100875, China

    Wencui Du

  3. School of Business, Renmin University of China, Beijing, 100872, China

    Haipeng Niu

Authors
  1. Qunhui Lin
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  2. Guanyi Chen
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  3. Wencui Du
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  4. Haipeng Niu
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Correspondence to Qunhui Lin.

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Lin, Q., Chen, G., Du, W. et al. Spillover effect of environmental investment: evidence from panel data at provincial level in China. Front. Environ. Sci. Eng. 6, 412–420 (2012). https://doi.org/10.1007/s11783-012-0392-0

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  • DOI: https://doi.org/10.1007/s11783-012-0392-0

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