External Demand,Production Technology Choice and Enterprise's Green Development:From the Perspective of Production Network
In the context of dual carbon goals,promoting the green transformation of manufacturing enterprises'production mode is an important content of high-quality development.Maintaining stable growth of external demand plays an important supporting role in building a new development pattern and promoting high-quality development.Will the steady growth of external demand affect the green development of manufacturing enterprises?Will the impact of external demand have spillover effects among firms in different sectors through domestic circulation?To answer the above questions,this paper explores the motivation for emission reduction of Chinese manufacturing enterprises from the demand side and the perspective of domestic production network.In this paper,a heterogeneous firm model of endogenous determination of production technology choice is established to reveal how external demand shock affects the production technology choice of a firm itself and its upstream and downstream enterprises,thus affecting the pollution emission intensity.On this basis,this paper uses the shift-share method to construct the firm-level external demand shock index,and combines the input-output connection between enterprises to construct the upstream and downstream spillover effect index of external demand shock.Then,this paper uses the micro-production and pollution data of Chinese firms to examine the direct and indirect effects of external demand shocks on pollution emission intensity of Chinese enterprises.The results show that the market scale effect caused by the expansion of external demand is greater than the competition effect,which can effectively reduce firm pollution emission intensity.Moreover,the impact of the expansion of external demand can also spill over to upstream and downstream enterprises,especially downstream enterprises,along the domestic production network,thereby indirectly reducing the pollution emission intensity of other enterprises.In addition,prompting companies to choose more advanced and environmentally friendly production technologies is a key mechanism by which external demand shocks affect the pollution emission intensity of firms and their upstream and downstream enterprises.The results of this paper enrich relevant research on external demand and green development of enterprises and help to clarify the logical relationship between stable growth of external demand,domestic production network and green development of domestic enterprises.The policy implication of this paper is that maintaining the stable growth of external demand and constructing a unified national large market promotes green and low-carbon economic development.
external demandenterprise green developmentproduction technology choicedomestic production network