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Data and Code for: The Size Distribution of Firms and Industrial Water Pollution: A Quantitative Analysis of China

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DOI
https://doi.org/10.3886/E112005V2
Version
2
Resource Type
Dataset : aggregate data, census/enumeration data, program source code
Creator
  • Qi, Ji (Chinese Academy for Environmental Planning)
  • Tang, Xin (Center for Economic Development and Research, Economics and Management School, Wuhan University, and International Monetary Fund)
  • Xi, Xican (China Center for Economic Studies, School of Economics, Fudan University, and Shanghai Institute of International Finance and Economics)
Publication Date
2019-09-24
Funding Reference
  • National Key R&D Program of China
    • Award Number: 2016YFC0207604
  • Key Grant of Ministry of Education of China
    • Award Number: 16JJD790045
Free Keywords
Firm Size Distribution; Correlated Distortions; Industrial Water Pollution
Description

  • Abstract

    We argue that misallocation across firms amplifies industrial water pollution by distorting the firm size distribution in China. Firm-level data indicate that larger firms are more likely to use clean technology but face higher distortions. In a heterogeneous firms model with an endogenous choice of pollution treatment technologies, we show that distortions that increase with firm-level TFP lower the adoption of clean technology, amplify aggregate pollution intensity, and lower aggregate output. Quantitatively, eliminating these correlated distortions would increase output by 30% and decrease pollution by 20%. Meanwhile, environmental regulations have sizable impact on pollution but limited effects on aggregate output.

  • Weighting

    No weighting is involved.

  • Technical Information

    Response Rates: Both data are national census. All firms belonging to the census scope are required to respond by law.

  • Technical Information

    Presence of Common Scales: Number of employees is counted by integer. All economic variables are measured in 2004 CNY (CNEC) and 2007 CNY (NGSPS). The emissions data are measured in metric ton.
Temporal Coverage
  • 2007-01-01 / 2007-12-31
    Time Period: Mon Jan 01 00:00:00 EST 2007--Mon Dec 31 00:00:00 EST 2007 (National General Survey of Pollution Sources)
  • 2004-01-01 / 2004-12-31
    Time Period: Thu Jan 01 00:00:00 EST 2004--Fri Dec 31 00:00:00 EST 2004 (China National Economic Census and Statistics of U.S. Businesses)
  • 2007-01-01 / 2007-12-31
    Collection Date(s): Mon Jan 01 00:00:00 EST 2007--Mon Dec 31 00:00:00 EST 2007 (National General Survey of Pollution Sources)
  • 2004-01-01 / 2004-12-31
    Collection Date(s): Thu Jan 01 00:00:00 EST 2004--Fri Dec 31 00:00:00 EST 2004 (China National Economic Census)
Geographic Coverage
  • China
Sampled Universe
The National General Survey of Pollution Sources consists all of the pollution units from the agricultural, industrial, and domestic sources, as well as facilities for centralized treatment of pollution. In this study, we focus on the industrial pollution sources, which consist of businesses generating pollutants from the 39 manufacturing industries.

The China National Economic Census was designed to cover {all} businesses that undertake economic activities in the secondary and tertiary industries in China. We use observations that belong to the manufacturing sector.

The Statistics of U.S. Businesses from the U.S. Census Bureau, is an annual series that provides national and subnational data on the distribution of economic activities by firm size and industry. We use the data on total employment by firm size and industry from 2004.

Main text Section I.A and Appendix A.1 provide further details. Smallest Geographic Unit: Mainland China
Sampling
The two census are designed to contain all the relevant firms.
Collection Mode

  • coded on-site observation;

Availability
Not available
Relations
  • Is previous version of
    DOI: 10.3886/E112005V3
Publications
  • Qi, Ji, Xin Tang, and Xican Xi. “The Size Distribution of Firms and Industrial Pollution: A Quantitative Analysis of China.” American Economic Journal: Macroeconomics, n.d.

Update Metadata: 2020-05-18 | Issue Number: 4 | Registration Date: 2019-09-24

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Qi, Ji; Tang, Xin; Xi, Xican (2019): Data and Code for: The Size Distribution of Firms and Industrial Water Pollution: A Quantitative Analysis of China. Version: 2. ICPSR - Interuniversity Consortium for Political and Social Research. Dataset. https://doi.org/10.3886/E112005V2