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The Environmental Effects of Different Types of Ownership Enterprises

Author: SunYingZuo
Tutor: XiaoXingZhi
School: Dongbei University of Finance
Course: Industrial Organization
Keywords: Ownership industrial enterprise Environmental Regulation Environmental Effect
CLC: F224
Type: Master's thesis
Year: 2011
Downloads: 60
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Abstract

Since the reform and opening up, our country’s economy has made a great progress.Total economic output has growth from 0.36 trillion yuan in 1978 to 39.8 trillion yuan in 2010, and gross domestic product overtake Japan to become the world’s second largest economy in 2010. In order to speed up the economic growth in China, the central government has made a encourage policy to promote the development of various kinds of ownership of. As the state-owned economy has made great development, the private economy and foreign economy for China made great contributions to the economic growth. However, the economic development of our country’s pattern mainly rely on consumption, investment and export, the investment and exports account for 75%. This kind of extensive pattern of economic growth mode brought some negative list of issues, such as the environment pollution problem. The party in 17 th congress report, we should strengthen the energy conservation of resources and ecological environment protection, enhance the ability of sustainable development. In 2007, the state council has promulgated "The State Environmental Protection ’eleventh five-year plan’", forwarded the pollution emission statistics, monitoring, evaluation system and a series of important documents, it fully displays the high attention of the central committee and the state council on environmental protection.In this background, this paper chooses "industrial enterprise environmental effect of different ownership" as a research subject, sought to realize the balance between economic development and environment protection. This paper, from the perspective of the ownership structure explore the relationship between ownership economy and environment, contrast the impact of the foreign-funded enterprise, private enterprise and three-capital enterprise on the environment, to provide valuable suggestions for environmental regulation policy formulation and implementation.This paper use theoretical analysis and empirical analysis method, analysis the impact on the environment of three different ownership industrial enterprises. In the part of theory analysis, apply the different of three ownership enterprise in economic efficiency, the internalization of environmental externalities intend and the ability of negotiation with environmental regulation institutions to build theoretical model to explore the influence of the environment. The empirical analysis section, this paper using for reference the Grossman and Krueger (1991) application scale effect, technical effect and the effects of different ownership structure analysis of industrial enterprise environmental effects. Based on this, we chose the five kinds of pollutant index building provincial panel regression model empirical analysis the impact of the three different ownership industrial enterprises on the environment.Theory and empirical analysis indicate that the impact of the three kinds of different ownership industrial enterprise on the environment is different. The theoretical analysis of the studies showed that in terms of the economic efficiency and the ability of negotiation with environmental regulation institutions, the environmental effects of private enterprises and three-capital enterprise are better than the state-owned and holding enterprise; And from the will of the internalization of environmental externality perspective, state-owned and holding enterprise environmental effects is better than the private enterprises and foreign-funded enterprises. The empirical analysis research shows that three different ownership industrial enterprise environmental effects more complicated. And its holdings of the state-owned enterprise and private enterprise is concerned, the technology, the scale, structure changes on the influence of different pollutants discharge is different. For foreign-funded enterprise is concerned, the technology, the scale, structure changes on the industry waste water, sulfur dioxide, industrial smoke and industrial dust emissions is consistent, and the influence of solid waste is different. And three-capital enterprise absolute scale enlargement will bring the positive environmental effects, but relative scale enlargement will bring negative environmental effects. Based on the research of three-capital enterprises, my results tend to support "pollution halo" hypothesis.Finally, in this paper based on the research, from the macro and micro level, proposed to the China’s environmental regulation policy formulation and implementation valuable Suggestions. The macroscopic level puts forward six suggestions:Above all, to increase the environmental regulation policy executive power; Secondly, to construct the promote industrial technology innovation of the regulation policy environment; Thirdly, we should establish a scientific environment policy regulation system; Fourthly, to strengthen environmental regulation of leadership, improve environmental regulation organization system construction; Fifth, to explore the establishment of environmental resources the definition of property right mechanism; Sixth, make efforts to promote the environmental regulation policies and upgrading of the industrial structure coordination situation formation. The micro puts forward three suggestions:firstly, improve the foreign-funded enterprise and private enterprise’s technical level, encourage the introduction of foreign advanced technology; Secondly, reduce foreign-funded enterprise and private enterprise structure level; Make the structure of the state-owned and holding enterprise level to moderate; Thirdly, we should encourage foreign-funded enterprise and private enterprise increasing its investment and construction, the state-owned and holding enterprise scale level also wants moderate.

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