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How Does Local Real Estate Investment Influence Neighborhood PM 2.5 Concentrations? A Spatial Econometric Analysis

Author

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  • Hongjie Bao

    (School of Management, Northwest Minzu University, Lanzhou 730030, China)

  • Ling Shan

    (School of Business Administration, Zhongnan University of Economics and Law, Wuhan 430073, China)

  • Yufei Wang

    (School of Business Administration, Zhongnan University of Economics and Law, Wuhan 430073, China)

  • Yuehua Jiang

    (School of Business Administration, Zhongnan University of Economics and Law, Wuhan 430073, China)

  • Cheonjae Lee

    (TUM School of Engineering & Design, Technical University of Munich (TUM), 80333 Munich, Germany)

  • Xufeng Cui

    (School of Business Administration, Zhongnan University of Economics and Law, Wuhan 430073, China
    Key Laboratory of Virtual Geographic Environment (Ministry of Education of PRC), Nanjing Normal University, Nanjing 210046, China)

Abstract

Real estate investment has been an important driving force in China’s economic growth in recent years, and the relationship between real estate investment and PM 2.5 concentrations has been attracting widespread attention. Based on spatial econometric modelling, this paper explores the relationships between real estate investment and PM 2.5 concentrations using multi-source panel data from 30 provinces in China between 1987 and 2017. The results demonstrate that compared with static spatial panel modelling, using a dynamic spatial Durbin lag model (DSDLM) more accurately reflects the influences of real estate investment on PM 2.5 concentrations in China, and that PM 2.5 concentrations show significant superposition effects and spillover effects. Moreover, there is an inverted U-shaped relationship between real estate investment and PM 2.5 concentrations in the Eastern and Central Regions of China. At the national level, the impacts of real estate investment on land urbanization and PM 2.5 concentrations first increased and then decreased over time. The key implications of this analysis are as follows. (1) it highlights the need for a unified PM 2.5 monitoring platform among Chinese regions; (2) the quality of population urbanization rather than land urbanization should be given more attention; and (3) the speed of construction of green cities and building of green transportation systems and green town systems should be increased.

Suggested Citation

  • Hongjie Bao & Ling Shan & Yufei Wang & Yuehua Jiang & Cheonjae Lee & Xufeng Cui, 2021. "How Does Local Real Estate Investment Influence Neighborhood PM 2.5 Concentrations? A Spatial Econometric Analysis," Land, MDPI, vol. 10(5), pages 1-21, May.
    • Handle: RePEc:gam:jlands:v:10:y:2021:i:5:p:518-:d:553571
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    References listed on IDEAS

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    Cited by:

    1. Wenqin Gong & Yu Kong, 2022. "Nonlinear Influence of Chinese Real Estate Development on Environmental Pollution: New Evidence from Spatial Econometric Model," IJERPH, MDPI, vol. 19(1), pages 1-22, January.
    2. Xueming Li & Songbo Li & Shenzhen Tian & Yingying Guan & He Liu, 2021. "Air Quality and the Spatial-Temporal Differentiation of Mechanisms Underlying Chinese Urban Human Settlements," Land, MDPI, vol. 10(11), pages 1-22, November.
    3. Linyan Wang & Haiqing Hu & Xianzhu Wang, 2022. "The Dynamic Evolution of the Structure of an Urban Housing Investment Niche Network and Its Underlying Mechanisms: A Case Study of 35 Large and Medium-Sized Cities in China," Sustainability, MDPI, vol. 14(6), pages 1-21, March.
    4. Xufeng Cui & Sisi Huang & Cuicui Liu & Tingting Zhou & Ling Shan & Fengyuan Zhang & Min Chen & Fei Li & Walter T. de Vries, 2021. "Applying SBM-GPA Model to Explore Urban Land Use Efficiency Considering Ecological Development in China," Land, MDPI, vol. 10(9), pages 1-15, August.

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