IDEAS home Printed from https://ideas.repec.org/a/gam/jijerp/v17y2020i22p8702-d449732.html
   My bibliography  Save this article

China’s Provincial Eco-Efficiency and Its Driving Factors—Based on Network DEA and PLS-SEM Method

Author

Listed:
  • Zhijun Li

    (School of Economics and Management, Xidian University, Xi’an 710126, China)

  • Yigang Wei

    (School of Economics and Management, Beihang University, Beijing 100191, China
    Beijing Key Laboratory of Emergency Support Simulation Technologies for City Operations, Beijing 100191, China)

  • Yan Li

    (Business School, Shandong University, Weihai 264209, China)

  • Zhicheng Wang

    (Business School, Shandong University, Weihai 264209, China)

  • Jinming Zhang

    (School of Political Studies, Nanjing Agricultural University, Nanjing 210095, China)

Abstract

This study aims to estimate the eco-efficiencies of China at provincial levels. The eco-efficiencies of production and treatment stages are disentangled by the network data envelopment analysis (DEA) method. The key driving factors are identified by the integrative use of driving force-pressure-state-impact-response frame model (DPSIR) model and partial least squares structural equation modeling (PLS-SEM) method. This study provides several important findings. In general, the eco-efficiencies of most regions in China are inefficient and show significant regional differences. All DPSIR factors have significant and strong impacts on the eco-efficiency of the treatment stage. The eco-efficiency of the production stage evidently outweighs the eco-efficiency in economically well-developed regions. The originality of this study lies in three aspects. First, using two-stage network DEA, this study dissects the overall eco-efficiency into production efficiency and treatment efficiency. Empirical results provide insights into the root cause of the low efficiency of each province (municipality). Second, on the basis of the DPSIR model, an expanded pool of driving factors is investigated. Third, using the PLS-SEM method to analyze eco-efficiency is more reliable and effective than applying other traditional regression models.

Suggested Citation

  • Zhijun Li & Yigang Wei & Yan Li & Zhicheng Wang & Jinming Zhang, 2020. "China’s Provincial Eco-Efficiency and Its Driving Factors—Based on Network DEA and PLS-SEM Method," IJERPH, MDPI, vol. 17(22), pages 1-31, November.
  • Handle: RePEc:gam:jijerp:v:17:y:2020:i:22:p:8702-:d:449732
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/1660-4601/17/22/8702/pdf
    Download Restriction: no

    File URL: https://www.mdpi.com/1660-4601/17/22/8702/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Ding, Yang & Li, Feng, 2017. "Examining the effects of urbanization and industrialization on carbon dioxide emission: Evidence from China's provincial regions," Energy, Elsevier, vol. 125(C), pages 533-542.
    2. Xu, Chao & Haase, Dagmar & Su, Meirong & Yang, Zhifeng, 2019. "The impact of urban compactness on energy-related greenhouse gas emissions across EU member states: Population density vs physical compactness," Applied Energy, Elsevier, vol. 254(C).
    3. Wang, Zhaohua & Yang, Zhongmin & Zhang, Yixiang & Yin, Jianhua, 2012. "Energy technology patents–CO2 emissions nexus: An empirical analysis from China," Energy Policy, Elsevier, vol. 42(C), pages 248-260.
    4. Wang, Zhaohua & Yin, Fangchao & Zhang, Yixiang & Zhang, Xian, 2012. "An empirical research on the influencing factors of regional CO2 emissions: Evidence from Beijing city, China," Applied Energy, Elsevier, vol. 100(C), pages 277-284.
    5. Yu, Shiwei & Zheng, Shuhong & Li, Xia, 2018. "The achievement of the carbon emissions peak in China: The role of energy consumption structure optimization," Energy Economics, Elsevier, vol. 74(C), pages 693-707.
    6. Zameer, Hashim & Yasmeen, Humaira & Wang, Rong & Tao, Jing & Malik, Muhammad Nasir, 2020. "An empirical investigation of the coordinated development of natural resources, financial development and ecological efficiency in China," Resources Policy, Elsevier, vol. 65(C).
    7. Quintano, Claudio & Mazzocchi, Paolo, 2013. "The shadow economy beyond European public governance," Economic Systems, Elsevier, vol. 37(4), pages 650-670.
    8. William Cooper & Kyung Park & Jesus Pastor, 1999. "RAM: A Range Adjusted Measure of Inefficiency for Use with Additive Models, and Relations to Other Models and Measures in DEA," Journal of Productivity Analysis, Springer, vol. 11(1), pages 5-42, February.
    9. Humaira Yasmeen & Qingmei Tan & Hashim Zameer & Junlan Tan & Kishwar Nawaz, 2020. "Exploring the impact of technological innovation, environmental regulations and urbanization on ecological efficiency of China in the context of COP21," Post-Print hal-03558085, HAL.
    10. Ming Cao & Wei Kang & Qingren Cao & M. Jawad Sajid, 2020. "Estimating Chinese rural and urban residents’ carbon consumption and its drivers: considering capital formation as a productive input," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 22(6), pages 5443-5464, August.
    11. Zhang, Xiaohong & Wu, Liqian & Zhang, Rong & Deng, Shihuai & Zhang, Yanzong & Wu, Jun & Li, Yuanwei & Lin, Lili & Li, Li & Wang, Yinjun & Wang, Lilin, 2013. "Evaluating the relationships among economic growth, energy consumption, air emissions and air environmental protection investment in China," Renewable and Sustainable Energy Reviews, Elsevier, vol. 18(C), pages 259-270.
    12. Pata, Ugur Korkut, 2018. "The influence of coal and noncarbohydrate energy consumption on CO2 emissions: Revisiting the environmental Kuznets curve hypothesis for Turkey," Energy, Elsevier, vol. 160(C), pages 1115-1123.
    13. Guo, Chuanyin & Abbasi Shureshjani, Roohollah & Foroughi, Ali Asghar & Zhu, Joe, 2017. "Decomposition weights and overall efficiency in two-stage additive network DEA," European Journal of Operational Research, Elsevier, vol. 257(3), pages 896-906.
    14. Sharma, Susan Sunila, 2011. "Determinants of carbon dioxide emissions: Empirical evidence from 69 countries," Applied Energy, Elsevier, vol. 88(1), pages 376-382, January.
    15. Haroldo V. Ribeiro & Diego Rybski & Jürgen P. Kropp, 2019. "Effects of changing population or density on urban carbon dioxide emissions," Nature Communications, Nature, vol. 10(1), pages 1-9, December.
    16. W. Briec, 1997. "A Graph-Type Extension of Farrell Technical Efficiency Measure," Journal of Productivity Analysis, Springer, vol. 8(1), pages 95-110, March.
    17. Fare, Rolf & Knox Lovell, C. A., 1978. "Measuring the technical efficiency of production," Journal of Economic Theory, Elsevier, vol. 19(1), pages 150-162, October.
    18. Pastor, J. T. & Ruiz, J. L. & Sirvent, I., 1999. "An enhanced DEA Russell graph efficiency measure," European Journal of Operational Research, Elsevier, vol. 115(3), pages 596-607, June.
    19. Mosaffaie, Jamal & Salehpour Jam, Amin & Tabatabaei, Mahmoud Reza & Kousari, Mahammad Reza, 2021. "Trend assessment of the watershed health based on DPSIR framework," Land Use Policy, Elsevier, vol. 100(C).
    20. Loures, L. & Ferreira, P., 2019. "Energy consumption as a condition for per capita carbon dioxide emission growth: The results of a qualitative comparative analysis in the European Union," Renewable and Sustainable Energy Reviews, Elsevier, vol. 110(C), pages 220-225.
    21. Xinhua Zhu & Yigang Wei & Yani Lai & Yan Li & Sujuan Zhong & Chun Dai, 2019. "Empirical Analysis of the Driving Factors of China’s ‘Land Finance’ Mechanism Using Soft Budget Constraint Theory and the PLS-SEM Model," Sustainability, MDPI, vol. 11(3), pages 1-21, January.
    22. Reinartz, Werner & Haenlein, Michael & Henseler, Jörg, 2009. "An empirical comparison of the efficacy of covariance-based and variance-based SEM," International Journal of Research in Marketing, Elsevier, vol. 26(4), pages 332-344.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Asmild, Mette & Pastor, Jesús T., 2010. "Slack free MEA and RDM with comprehensive efficiency measures," Omega, Elsevier, vol. 38(6), pages 475-483, December.
    2. Jesus Pastor & C. Lovell & Juan Aparicio, 2012. "Families of linear efficiency programs based on Debreu’s loss function," Journal of Productivity Analysis, Springer, vol. 38(2), pages 109-120, October.
    3. Halická, Margaréta & Trnovská, Mária & Černý, Aleš, 2024. "A unified approach to radial, hyperbolic, and directional efficiency measurement in data envelopment analysis," European Journal of Operational Research, Elsevier, vol. 312(1), pages 298-314.
    4. Juan Aparicio & Jesus T. Pastor & Jose L. Sainz-Pardo & Fernando Vidal, 2020. "Estimating and decomposing overall inefficiency by determining the least distance to the strongly efficient frontier in data envelopment analysis," Operational Research, Springer, vol. 20(2), pages 747-770, June.
    5. Gómez-Calvet, Roberto & Conesa, David & Gómez-Calvet, Ana Rosa & Tortosa-Ausina, Emili, 2014. "Energy efficiency in the European Union: What can be learned from the joint application of directional distance functions and slacks-based measures?," Applied Energy, Elsevier, vol. 132(C), pages 137-154.
    6. R. Robert Russell & William Schworm, 2018. "Technological inefficiency indexes: a binary taxonomy and a generic theorem," Journal of Productivity Analysis, Springer, vol. 49(1), pages 17-23, February.
    7. Pastor, Jesus T. & Lovell, C.A. Knox & Aparicio, Juan, 2020. "Defining a new graph inefficiency measure for the proportional directional distance function and introducing a new Malmquist productivity index," European Journal of Operational Research, Elsevier, vol. 281(1), pages 222-230.
    8. Aparicio, Juan & Kapelko, Magdalena, 2019. "Accounting for slacks to measure dynamic inefficiency in data envelopment analysis," European Journal of Operational Research, Elsevier, vol. 278(2), pages 463-471.
    9. Ray, Subhash C. & Jeon, Yongil, 2008. "Reputation and efficiency: A non-parametric assessment of America's top-rated MBA programs," European Journal of Operational Research, Elsevier, vol. 189(1), pages 245-268, August.
    10. Juo, Jia-Ching & Fu, Tsu-Tan & Yu, Ming-Miin & Lin, Yu-Hui, 2016. "Non-radial profit performance: An application to Taiwanese banks," Omega, Elsevier, vol. 65(C), pages 111-121.
    11. Kao, Chiang, 2022. "Closest targets in the slacks-based measure of efficiency for production units with multi-period data," European Journal of Operational Research, Elsevier, vol. 297(3), pages 1042-1054.
    12. Ioannis E. Tsolas, 2020. "Financial Performance Assessment of Construction Firms by Means of RAM-Based Composite Indicators," Mathematics, MDPI, vol. 8(8), pages 1-16, August.
    13. Pastor, Jesus T. & Zofío, José Luis & Aparicio, Juan & Pastor, D., 2023. "A general direct approach for decomposing profit inefficiency," Omega, Elsevier, vol. 119(C).
    14. Barbero, Javier & Zofío, José L., 2023. "The measurement of profit, profitability, cost and revenue efficiency through data envelopment analysis: A comparison of models using BenchmarkingEconomicEfficiency.jl," Socio-Economic Planning Sciences, Elsevier, vol. 89(C).
    15. Gerami, Javad & Mozaffari, Mohammad Reza & Wanke, Peter F. & Correa, Henrique L., 2022. "Improving information reliability of non-radial value efficiency analysis: An additive slacks based measure approach," European Journal of Operational Research, Elsevier, vol. 298(3), pages 967-978.
    16. Fukuyama, Hirofumi & Weber, William L., 2009. "A directional slacks-based measure of technical inefficiency," Socio-Economic Planning Sciences, Elsevier, vol. 43(4), pages 274-287, December.
    17. Youchao Tan & Udaya Shetty & Ali Diabat & T. Pakkala, 2015. "Aggregate directional distance formulation of DEA with integer variables," Annals of Operations Research, Springer, vol. 235(1), pages 741-756, December.
    18. Aparicio, Juan & Mahlberg, Bernhard & Pastor, Jesus T. & Sahoo, Biresh K., 2014. "Decomposing technical inefficiency using the principle of least action," European Journal of Operational Research, Elsevier, vol. 239(3), pages 776-785.
    19. Zhu, Qingyuan & Wu, Jie & Ji, Xiang & Li, Feng, 2018. "A simple MILP to determine closest targets in non-oriented DEA model satisfying strong monotonicity," Omega, Elsevier, vol. 79(C), pages 1-8.
    20. R. Robert Russell & William Schworm, 2009. "Axiomatic Foundations of Inefficiency Measurement on Space," Discussion Papers 2009-07, School of Economics, The University of New South Wales.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jijerp:v:17:y:2020:i:22:p:8702-:d:449732. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.