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Can environmental regulations change the environmental behaviour of local leaders and enterprises? Evidence using the accountability audit of natural resources in China

By: Wang, Min.
Material type: materialTypeLabelBookPublisher: Local Government Studies Description: 50(2), Apr, 2024: p.352-374.Subject(s): China, Environmental regulations, Local leaders, Political connections, Environmental investment In: Local Government StudiesSummary: Securing long-term environmental pollution control in a system where local leaders in China hold tenure for only a short term is a challenge. The innovative Chinese accountability audit of natural resources (AANR) pilot project attempts to address this problem by mandating lifelong accountability for local leaders. Using this pilot as a quasi-natural experiment, we explored macro-effectiveness and micro-mechanisms of AANR. The results show that AANR has a positive impact on the environmental investment behaviour of enterprises. This paper finds that AANR stimulates enterprises’ investments in the environment by improving the environmental behaviour of local leaders. During mobilisation meetings, local leaders convey signals on environmental matters. Political connections are bridges which convey the signals of mobilisation to enterprises. Those enterprises receive the signals and increase environmental investment. AANR thus promotes collaborative governance by ensuring that the interests of key stakeholders are aligned to prevent pollution.- Reproduced https://www.tandfonline.com/doi/full/10.1080/03003930.2023.2206652
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Articles Articles Indian Institute of Public Administration
50(2), Apr, 2024: p.352-374 Available AR135410

Securing long-term environmental pollution control in a system where local leaders in China hold tenure for only a short term is a challenge. The innovative Chinese accountability audit of natural resources (AANR) pilot project attempts to address this problem by mandating lifelong accountability for local leaders. Using this pilot as a quasi-natural experiment, we explored macro-effectiveness and micro-mechanisms of AANR. The results show that AANR has a positive impact on the environmental investment behaviour of enterprises. This paper finds that AANR stimulates enterprises’ investments in the environment by improving the environmental behaviour of local leaders. During mobilisation meetings, local leaders convey signals on environmental matters. Political connections are bridges which convey the signals of mobilisation to enterprises. Those enterprises receive the signals and increase environmental investment. AANR thus promotes collaborative governance by ensuring that the interests of key stakeholders are aligned to prevent pollution.- Reproduced

https://www.tandfonline.com/doi/full/10.1080/03003930.2023.2206652

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