Study on the relationship between the economic growth and environmental pollution in Fujian province based on the VAR model

Using the Vector Autoregressive model (VAR) of the impulse response function and variance decomposition method, selected the economic growth and environmental pollution data in Fujian province from 2003 to 2012, describes the interaction mechanism and dynamic correlation between the economic growth and environmental pollution of Fujian province on the temporal dimension. Results show that: economic growth is the important reasons that result in the change of pollution emissions in Fujian province, whereas industrial waste gas emissions, industrial wastewater, industrial solid waste emissions increase are reacting force on economic growth. Environmental pollutants emissions is an important variable for the variance of economic growth forecasts, but it is small that interpretation contribution for the predicted variance of the environmental pollutants to the economic growth, but that is relatively larger than that of the economic growth to the environmental pollution emissions.