August 18, 2025SustainabilityOpen Access

Can Green Finance Policy Achieve Collaborative Governance of Air Pollution? Evidence from Prefecture-Level Cities in China

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Analysis reveals green finance policy lowers air pollution in Chinese cities, highlighting sustainable development implications.

Green finance policy effectively alleviates air pollution in Chinese cities, supporting sustainable development efforts.
Utilizing a difference-in-differences model, the study examines data from 276 cities over nine years, from 2011 to 2020.
The mechanism test indicates that green finance reduces air pollution through resource allocation and green innovation effects.
Findings highlight that the policy's impact is stronger in Western, resource-based cities with higher financial development.

Chen et al. (2025) studied this question.

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