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“Carrots or Sticks”? The Impact of Green Subsidies and Environmental Regulations on the Green Production Behavior and Synergistic Effects of Beef Cattle Breeders: An Empirical Study Based on China

Author

Listed:
  • Shiwei Li

    (College of Economics, Sichuan Agricultural University, Chengdu 611130, China)

  • Siyuan Qi

    (College of Economics, Sichuan Agricultural University, Chengdu 611130, China)

  • Junlong Ma

    (College of Economics, Sichuan Agricultural University, Chengdu 611130, China)

Abstract

In advancing the green transformation of the livestock industry, whether “carrots” or “sticks” prove more effective remains to be further tested. Drawing on micro-level survey data from 273 beef cattle farmers in Yunnan Province, China, this study employs farmers’ subjective evaluations of green subsidies and environmental regulation intensity to characterize corresponding policy instruments. An ordered Probit model is used to analyze the impact and underlying mechanisms of green subsidies and environmental regulations on farmers’ green production behaviors. Results indicate: (1) Both green subsidies and environmental regulations promote green production practices among beef cattle farmers, with green subsidies demonstrating stronger effects that remain robust across a series of stability tests. (2) Heterogeneity analysis reveals that both policy instruments positively influence various types of green production behaviors, with the most significant effect observed on manure resource utilization. This effect is stronger among risk-preferring farmers and those participating in cooperatives. Furthermore, green subsidies significantly promote green production behaviors among small and medium-sized farmers, while environmental regulations enhance green production behaviors across all farmer sizes, with larger farmers experiencing stronger effects. (3) Mechanism analysis indicates that green subsidies and environmental regulations primarily promote green production practices by encouraging farmers to participate in green training, build green facilities, and enhance their green awareness. (4) Further analysis reveals no synergistic effects between green subsidies and environmental regulations. The research conclusion of this study can provide a reference for optimizing policy tool combinations in regions with similar beef cattle farming structures and regional characteristics.

Suggested Citation

  • Shiwei Li & Siyuan Qi & Junlong Ma, 2026. "“Carrots or Sticks”? The Impact of Green Subsidies and Environmental Regulations on the Green Production Behavior and Synergistic Effects of Beef Cattle Breeders: An Empirical Study Based on China," Sustainability, MDPI, vol. 18(4), pages 1-24, February.
  • Handle: RePEc:gam:jsusta:v:18:y:2026:i:4:p:1945-:d:1864253
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