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Low-carbon city pilot policies, government attention, and green total factor productivity

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  • Yuan, Guang
  • Liu, Jun
  • Wang, Yi

Abstract

Effective environmental policy necessitates institutional support; however, research often overlooks the role of government attention. This study examines how governmental environmental attention moderates the impact of low-carbon city pilot (LCCP) policies on green total factor productivity (GTFP) in 260 Chinese cities (2006–2023). Results reveal that LCCP significantly improves urban GTFP, with stronger effects in the eastern and northern regions. Direct governmental attention (fiscal expenditure) enhances policy effectiveness, while indirect attention (policy emphasis) influences market behavior. These findings underscore the importance of region-specific policies and government involvement in environmental governance for sustainable urban development.

Suggested Citation

  • Yuan, Guang & Liu, Jun & Wang, Yi, 2025. "Low-carbon city pilot policies, government attention, and green total factor productivity," Finance Research Letters, Elsevier, vol. 77(C).
    • Handle: RePEc:eee:finlet:v:77:y:2025:i:c:s1544612325003071
    DOI: 10.1016/j.frl.2025.107043
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    References listed on IDEAS

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    Keywords

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    JEL classification:

    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth
    • 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
    • H83 - Public Economics - - Miscellaneous Issues - - - Public Administration

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