Economic transformation in the Beijing-Tianjin-Hebei region

Abstract

The Beijing-Tianjin-Hebei Region Integration Plan is one of the most important national strategies in China promoting regional economic development. The environmental problems in this region, however, especially air pollution and contaminated groundwater, have enormous influence on the people's health while also causing economic loss. Therefore, this study aims to analyze the pattern of its environmental and economic development. Panel data in the period 2004-2014 are used to establish an advanced model of the Environmental Kuznets Curve. The results indicate that the economic growth and environmental pollution of Beijing-Tianjin-Hebei region do not completely meet the Environment Kuznets Curve assumptions. The discharge volume of industrial wastewater and economic growth reflect a wave-type relation. The sulfur dioxide discharge volume and economic growth reflect a U-shaped relation; the generated volume of industrial solid wastes and economic growth reflect a reversed N-shaped relation, which is in accordance with the Environmental Kuznets Curve characteristics at the second inflection point. The variables added value of the secondary industry, population size and raw coal consumption volume have a significant positive influence on the discharge of various environmental pollutants in Beijing-Tianjin-Hebei region. The analysis provides policy recommendations for the government to develop regional economic and environmental protection policies.