JOURNAL OF NATURAL RESOURCES ›› 2016, Vol. 31 ›› Issue (1): 17-27.doi: 10.11849/zrzyxb.20141570

• Resource Economics • Previous Articles     Next Articles

Do Export and FDI Aggravate Environmental Pollution in Resources-based Cities?—An Empirical Analysis Based on Panel Data of 285 Prefecture Cities in China

WEI Long1,2, PAN An1   

  1. 1. School of Economics, Wuhan University of Technology, Wuhan 430070, China;
    2. Research Center for S & T Innovation and Economic Development, Wuhan 430070, China
  • Received:2014-11-27 Online:2016-01-20 Published:2016-01-20
  • Supported by:
    National Social Science Fund of China, No; 11BJL046; Fundamental Research Funds for the Central Universities, No; 2014-yb-007

Abstract: In line with rapid economic growth in China, intensive attentions were paid to the correlations between sustainable development and environment. According to the data from World Mining Congress, the mineral production of China in 28 categories ranked first in the world in 2012, in which 12 kinds of minerals shared more than 50% in the world��s total production. As strategic bases for energy resource, resources-based cities play supportive roles in the China��s economic development. However, the environmental pollution problems resulting from resource exploitation and processing are very prominent at present. Following the classical EKC analytical framework and the existing researches on resources-based cities, this paper introduces the endogenous elements and additional variables of export, FDI, R&D and pollution abatement level, and further uses the Fixed Effect Model and IV-GMM method to make an empirical investigation into the influences of export and FDI on the environmental pollution in China��s resources-based cities by using the panel data of 285 prefecture cities (115 resources-based cities and 170 others) from 2005 to 2012. It demonstrates the heterogeneity of influences among different types of cities. The results show that export business significantly aggravates environmental pollution in China��s resources-based cities, and FDI aggravates environmental pollution to some extent; the income level and environmental pollution have inverted U-shaped relationship in major prefecture cities; and influences on the environmental pollution are heterogeneous in different types of resources-based cities because the degrees that they depend on the resources and their technologies are different. China has made relevant policies and plans about mineral resources exploitation and sustainable development in resources-based cities at present. However, the conclusions of this empirical research still reflect some deficiencies related to the implementation and effects of the policies, which meanwhile provide enlightenments for improving the policies and their implementation. The deficiencies involved include disorderly market competition, failures of foreign investment policy, and neglecting the development of basic energies. Accordingly, the enlightenments mainly consist of improving the order of competition through market mechanisms, encouraging technology import, restricting the FDI and export in resources, making targeted policies at different development stages, and achieving the sustainable development and utilization of basic energies.

CLC Number: 

  • X196