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Evaluating green policies: A comparative analysis of subsidies and public procurement in green transition

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  • Gao, Jinqi
  • Lu, Fan

Abstract

Evaluating the impact of green fiscal policies is crucial for accelerating comprehensive green transition and advancing national green development. Using data from China’s A-share listed companies for 2015–2023 and employing an econometric two-way fixed effects model, this paper comparatively analyzes green fiscal policies’ synergistic effects on enterprise green transition. The following key results are obtained. First, government green subsidies and green public procurement significantly promote enterprise green transition through policy persistence, staged incentives, and green support. Second, a heterogeneity analysis reveals that the positive incentive effects vary by region, industry, and individual characteristics. Finally, further analysis shows that supply- and demand-side green fiscal policies exert a synergistic impact on enterprise green transition, contingent on the sequence of policy implementation. The findings of this study contribute to a deeper understanding of green support policies on the supply and demand sides, offering new insights for refining China’s green incentive policy framework.

Suggested Citation

  • Gao, Jinqi & Lu, Fan, 2025. "Evaluating green policies: A comparative analysis of subsidies and public procurement in green transition," Economic Analysis and Policy, Elsevier, vol. 86(C), pages 1675-1694.
    • Handle: RePEc:eee:ecanpo:v:86:y:2025:i:c:p:1675-1694
    DOI: 10.1016/j.eap.2025.05.005
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    More about this item

    Keywords

    Green fiscal policies; Green transition; Comparative analysis; Policy synergy;
    All these keywords.

    JEL classification:

    • H57 - Public Economics - - National Government Expenditures and Related Policies - - - Procurement
    • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy

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