How Environmental Regulation Affects Green Investment of Heavily Polluting Enterprises: Evidence from Steel and Chemical Industries in China

Environmental protection is the top priority in development process of all countries world, which directly affects public health. In response to growing environmental challenges, government implementing increasingly stringent industry supervision and regulations. However, impact regulation on investment has not formed a unified conclusion, few studies have discussed this effect at micro-enterprise level. This paper uses multiple regression analyses investigate green investments heavily polluting enterprises China. Using data listed companies steel chemical industries Shanghai Stock Exchange Shenzhen Exchange, we find that increasing intensity will inhibit enterprises. further classifies property rights these discusses role regional quality. From perspective rights, increased state-owned (SOEs) promote non-state-owned (NSOEs). quality region where company located, companies, regardless only provides new empirical evidence about for Porter’s hypothesis, but also compensates lack research corporate micro-level.