Title: The environmental industry in transitional China: barriers and opportunities between state and market

Authors: Yi Liu, Arthur P.J. Mol, Jining Chen

Addresses: Environmental Policy Group, Department of Social Science, Wageningen University and Research, Leeuwenborch 347, Hollandseweg 1, 6706 KN, Wageningen, The Netherlands; Institute of Environmental System Analysis, Department of Environmental Science and Engineering, Tsinghua University, Beijing 100084, PR China. ' Environmental Policy Group, Department of Social Science, Wageningen University and Research, Leeuwenborch 347, Hollandseweg 1, 6706 KN, Wageningen, The Netherlands. ' Institute of Environmental System Analysis, Department of Environmental Science and Engineering, Tsinghua University, Beijing 100084, PR China

Abstract: The environmental industry has been cited as a crucial industrial sector that developed parallel to the increasing focus on ecological and environmental issues in the modernisation process. Notwithstanding its rapid growth in recent years, China|s environmental industry is still immature in comparison with that of developed countries. A review of the development of China|s environmental industry points at several fundamental constraints. Both at national and regional levels, barriers relate to the demand side and the supply side of environmental industry, linked to rapid economic and social transitions. In addition, political constraints for innovation in environmental industry relate to the underlying administrative hierarchy and governmental regulation.

Keywords: environmental industry; innovation; demand side; supply side; environmental regulation; China; greening industry; administrative hierarchy; governmental regulation; environmental policy; economic transitions; social transitions; political constraints.

DOI: 10.1504/IJESD.2005.007741

International Journal of Environment and Sustainable Development, 2005 Vol.4 No.3, pp.269 - 289

Published online: 07 Sep 2005 *

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