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Industrial sustainable development level in China and its influencing factors

Author

Listed:
  • Hongjian Cao

    (Center of Large Country Economy Research, Business School, Hunan Normal University, China)

  • Jianying Zhang

    (Business School, Hunan Normal University, China)

  • Nengsheng Luo

    (School of Economy and Trade, Hunan University, Changsha, China)

  • Zheng Zhang

    (Academic Affairs Office, South China University of Technology, China)

Abstract

This research aims to set up a comprehensive index system to evaluate the sustainable development level of the industrial sector in China and to determine the key influencing factors that hinder the sector’s sustainable development. To achieve these research goals, we build a theoretical model with 26 indexes selected from resource, environment, economy, and society subsystems. An empirical analysis is conducted through Principal Component Analysis and Structural Equation Modeling. Results indicate that the sustainable development level of China’s industrial sector became positive in 2007 and peaked in 2012. The environment subsystem has the largest effect on the sustainable development level. The sustainable development level is also greatly influenced by solid wastes, production of non-renewable resources, energy consumption per unit of gross domestic product (GDP), and industrial research and development (R&D) expenditure. The basic conclusion is that the sustainable development level of the industrial sector in China can be enhanced through improving the utilization efficiency of resources, increasing the contribution of technology progress to GDP,and developing renewable resources.

Suggested Citation

  • Hongjian Cao & Jianying Zhang & Nengsheng Luo & Zheng Zhang, 2015. "Industrial sustainable development level in China and its influencing factors," Zbornik radova Ekonomskog fakulteta u Rijeci/Proceedings of Rijeka Faculty of Economics, University of Rijeka, Faculty of Economics and Business, vol. 33(2), pages 181-205.
    • Handle: RePEc:rfe:zbefri:v:33:y:2015:i:2:p:181-205
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    References listed on IDEAS

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    More about this item

    Keywords

    sustainable development level; industry; environment; resources; influencing factor;
    All these keywords.

    JEL classification:

    • O25 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Industrial Policy
    • O53 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East
    • P28 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies - - - Natural Resources; Environment

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