The effect of environmental regulations on innovation in heavy-polluting and resource-based enterprises: Quasi-natural experimental evidence from China.

ABSTRACT: Environmental protection regulations adopted by governments affect the microeconomic behavior of enterprises. The Chinese government began piloting the outgoing leading officials' accountability audit of natural resources assets (OANRA) in some regions in 2014. Based on this quasi-natural experimental setting, this paper chose heavy-polluting and resource-based enterprises in pilot regions of China from 2011 to 2016 as examples for studying the impact of the OANRA on enterprise innovation and further examines the role of government subsidies in this process. The study finds that the OANRA has no significant impact on enterprise innovation. However, with support from government subsidies, the OANRA dramatically accelerates enterprise innovation investment. The results are still seen after a

SUBMITTER: Liu T 

PROVIDER: S-EPMC7714138 | biostudies-literature | 2020

REPOSITORIES: biostudies-literature