Systems, Journal Year: 2024, Volume and Issue: 12(12), P. 586 - 586

Published: Dec. 22, 2024

Expanding a high level of openness and attracting high-quality foreign direct investment (FDI) while preventing foreign-invested enterprises from relocating to host countries reduce costs circumvent environmental regulation (ER) in their home countries, which can transform into “pollution heaven”, present significant challenge for emerging markets such as China. Based on theoretical analysis that integrates various frameworks, this study constructs panel regression model empirically investigate the relationship between ER quality FDI. This is conducted perspectives administrative means market mechanisms, utilizing data 267 prefectural-level cities China spanning years 2005 2021. reveals following conclusions: (1) The implementation significantly enhances FDI within cities, conclusion remains robust across tests. (2) improves through two key pathways: enhancing green competitiveness fostering technological innovation. (3) In comparison isolated effects mechanism policies, synergistic effect these approaches proves be more pronounced elevating (4) exerts impact FDI, particularly sub-samples characterized by higher levels protection focus non-resource-oriented activities. (5) has negative spatial spillover quality. serves valuable guide enhance policy effectiveness assess potential new open economic system.

Language: Английский