The Impact of Low-Carbon City Construction on Urban Green Total Factor Productivity

Li Liu; Yan Chen

doi:10.54097/xre51g30

Authors

Li Liu
Yan Chen

DOI:

https://doi.org/10.54097/xre51g30

Keywords:

Low-carbon city pilot, Green total factor productivity, PSM-DID

Abstract

This paper takes the national low-carbon city pilot program implemented in China since 2012 as a quasi-natural experiment. Based on panel data from 285 cities spanning 2009 to 2022, it employs the PSM-DID method to systematically evaluate the impact of the low-carbon city pilot policy on green total factor productivity. The study finds that, overall, the implementation of low-carbon city pilots has a significant promoting effect on the improvement of green total factor productivity. This conclusion remains robust after accounting for identification assumptions and a series of other factors that might interfere with the estimation results. Further results indicate that urban technological innovation capacity and the transformation and upgrading of industrial structure serve as important mechanisms through which low-carbon city pilots enhance urban green total factor productivity.

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