关键词: 政府竞争, 分权通道, 环境质量, 政府处理, 广义系统GMM

Abstract: Based on Chinese Provincial Panel Data from 2005 to 2012, we analysis whether the deterioration of current environmental quality is due to government competition. Furthermore, we study the intrinsic links between government competition and environmental quality under the framework of fiscal decentralization in order to inspect transmission mechanism through which government competition affects Chinese provincial environmental quality by decentralization channel. We innovate to put theconcept of unit pollution "Government's dealing" into use, and find that the government competition has different mechanisms for different types of environmental deterioration with the method of generalized system GMM. On the one hand, government competition tends to aggravate environmental problems of “national” and “spillover”, while on the other hand, it inclines to improve “regional” environment. At the same time, government competition is weakened by the decentralization channel, so its impact on environment quality is less significant. We can say that government competition is one of the direct causes of the current environmental problems. We provide policy recommendations such as taking market-oriented environmental pollution compensation mechanism.

Key words: Government Competition, Decentralized Channel, Environmental Quality, Government's Dealing, Generalized System GMM