Based on 35 industries during 2005-2015, this paper first uses a slack-based measure data envelopment analysis (SBM-DEA) model and the Luenberger index to measure green total factor productivity (GTFP) for each industry. Then we used a panel threshold model to study the impact mechanisms of environmental regulation on technological innovation and GTFP. Considering industry heterogeneity, the paper further explores whether such mechanisms differ in industries. The main findings are: (1) The impact mechanisms of environmental regulation on technological innovation and GTFP are different. For technological innovation, the effect depends on whether environmental regulation brings enough innovation pressure to firms by the rising cost of compliance. However, in terms of GTFP, the effect depends on the net effect between positive effects and negative effects of environmental regulation. (2) Apart from innovation offset, we also found that environmental regulation can promote GTFP through increasing market concentration and building green market entry barriers in high-pollution emission industries. (3) Such a competitive advantage is only effective in the short term, while technological innovation shows a positive offset effect in the long run.

Will public attention to the environment affect the green behavior of enterprises? This paper collected the panel data of steel enterprises in China from 2009 to 2017, evaluated the green investment efficiency by the measurement of the slack model (SBM) and the “super efficiency” (DEA) model, and studied the impact of public environmental attention on green investment efficiency. Firstly, public environmental attention has significantly promoted enterprise green investment efficiency; Secondly, the business environment has significantly promoted enterprise green investment efficiency, and the influence of public environmental attention on enterprise green investment efficiency is positively regulated by the business environment; Thirdly, the influence mechanism of public environmental attention on the promotion of green investment efficiency comprises environmental regulation and environmental responsibility; Fourthly, public environmental attention has a heterogeneous effect on the promotion of enterprise green investment efficiency. The promotion of public environmental attention on green investment efficiency is more significant for large enterprises than medium-sized enterprises. The effect of the promotion of public environmental attention on green investment efficiency is more significant for state-owned enterprises than private enterprises. The promotion of public environmental attention on green investment efficiency is more significant in eastern China than in central and western China.

In China, air pollution, especially fine particulate matter (PM2.5) pollution, has become increasingly serious with the rapid economic growth that has occurred over the past 40 years. This paper aims to introduce PM2.5 pollution as a constraint in the environmental efficiency research framework through the use of panel data covering the Chinese provinces from 2001–2018. PM2.5 environmental efficiency is measured with the slack-based measure (SBM)-Undesirable-variable returns-to-scale (VRS) model, and the results show that the average PM2.5 environmental efficiency score is 0.702, which indicates inefficiency, and is U-shaped over time. The PM2.5 environmental efficiency scores are unbalanced across the eight regions and 30 provinces of China. Additionally, the relationship between PM2.5 environmental efficiency and its influencing factors is examined with a tobit model, and the empirical findings indicate that the relationship between economic development and PM2.5 environmental efficiency is an inverted U, which is the opposite of the traditional environmental Kuznets curve (EKC). In addition, technological innovation, trade dependency, and regional development each have a significantly positive effect on PM2.5 environmental efficiency. However, environmental regulations, the industrial structure, and population density have significantly negative effects on PM2.5 environmental efficiency. Finally, this paper fails to prove that foreign direct investment (FDI) has created a PM2.5 “pollution haven” in China.

Whether China’s Pilot Free Trade Zone (FTZ) can force market-oriented reforms and improve the quality of economic growth is a major issue related to sustainable development. This paper uses DID method to test the impact of FTZ on the quality of economic growth. The study found that, first, FTZ has promoted the quality of economic growth. Second, FTZ has promoted China’s market-oriented reform through institutional innovation of high-level opening and provided a strong impetus for high-quality economic growth. Third, FTZs in coastal areas, the Guangdong-Hong Kong-Macao Greater Bay Area and the second batch of FTZs have a relatively greater role in promoting high-quality economic growth. Research shows that China’s high-level open institutional innovation can promote market-oriented reforms and effectively promote the goal of economic transformation from high-speed to high-quality.