Research on the influence of environmental regulation on technological innovation efficiency of manufacturing industry in China

First of all, this paper which is based on the panel data of 30 provinces, 27 manufacturing industries, and 1164 listed manufacturing companies in China measures the technological innovation efficiency of the manufacturing industry and then establishes the dynamic system generalized method of moments model and panel threshold model from the regional, industrial and enterprise levels to analyze the impact of environmental regulations on the technological innovation efficiency of China's manufacturing industry empirically. The results indicate: three kinds of environmental regulation tools have different influences on the technological innovation efficiency of the manufacturing industry and have a certain time lag effect. Overall, environmental regulation has an inhibitory effect on the technological innovation efficiency of the China's manufacturing industry in the same period. Still, it has a promoting effect on the lag stage. Threshold regression results show that the market incentive environmental regulation tools have a threshold effect on technological innovation efficiency, and there is an inverted "U" type relationship between them. Therefore, China should propose regulation methods according to the environmental pollution situation in different regions, promote enterprises to carry out technological reform, and improve the efficiency of technological innovation.