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Policy Uncertainties, Water Technology and Economic Growth

Author

Listed:
  • Fan Yang

    (School of Economics and Management, Southeast University, Nanjing 211189, P. R. China)

  • Jingyi Ge

    (��School of Arts, Humanities and Social Science, University of Melbourne, Melbourne 3000, Australia)

  • Xiaomin Wang

    (��School of Business and Economics, The University of Hong Kong, Pokfulan Road, Hong Kong, Hong Kong S.A.R.)

Abstract

Environmental economists have long been interested in the relationship between policy enforcement, technological progress, and economic growth. A multidirectional process exists where factors such as the economy, policy, technology, and environment interactively work. Based on the balanced panel data of 261 prefecture-level cities in China from 2000 to 2020, this study innovatively examines the diversified channels in the policy–technology system within the structural equation modeling framework. Conclusions can be drawn as follows. First, the policy uncertainties curb the technological improvement in the water sector, particularly in southern Chinese cities. Second, the incubation and adoption of water technology are closely intertwined, significantly affecting water quality. By clarifying the interaction of the factors in water technology diffusion, this study provides a comprehensive framework to investigate China’s water economics and policy uncertainties.

Suggested Citation

  • Fan Yang & Jingyi Ge & Xiaomin Wang, 2023. "Policy Uncertainties, Water Technology and Economic Growth," Water Economics and Policy (WEP), World Scientific Publishing Co. Pte. Ltd., vol. 9(04), pages 1-25, December.
    • Handle: RePEc:wsi:wepxxx:v:09:y:2023:i:04:n:s2382624x23400076
    DOI: 10.1142/S2382624X23400076
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    More about this item

    Keywords

    Policy uncertainties; water technology; water quality; economic growth; structural equation modeling;
    All these keywords.

    JEL classification:

    • C30 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - General
    • Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling
    • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes

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