| Title |
Does urban low-carbon governance affect firms' business decisions for employing capital and labor? |
| ID_Doc |
32550 |
| Authors |
Wu, HQ; Wang, L; Ding, T; Peng, F |
| Title |
Does urban low-carbon governance affect firms' business decisions for employing capital and labor? |
| Year |
2024 |
| Published |
Journal Of Environmental Planning And Management, 67, 10 |
| DOI |
10.1080/09640568.2023.2184681 |
| Abstract |
This study investigates the impact of urban low-carbon governance on firms' capital-labor ratio. By treating China's low-carbon city pilot (LCCP) policy as an urban low-carbon governance instrument, we apply a difference-in-differences method (DID) and find that the LCCP program significantly reduces firms' capital-labor ratio, but the effect only manifests in state-owned enterprises (SOEs). The mechanism result demonstrates that to intensify urban low-carbon governance, local governments adjusted fiscal expenditure structure, resulting in SOEs employing less capital and more labor. This may be a business strategy adopted by SOEs to avoid environmental regulations, as we find that urban low-carbon governance significantly improves green technology innovation in non-SOEs, but not in SOEs. |
| Author Keywords |
urban low-carbon governance; capital-labor ratio; fiscal expenditure structure; business strategy |
| Index Keywords |
Index Keywords |
| Document Type |
Other |
| Open Access |
Open Access |
| Source |
Social Science Citation Index (SSCI) |
| EID |
WOS:000945393600001 |
| WoS Category |
Development Studies; Regional & Urban Planning |
| Research Area |
Development Studies; Public Administration |
| PDF |
|