Does the Agglomeration of Producer Services and the Market Entry of Enterprises Promote Carbon Reduction? An Empirical Analysis of the Yangtze River Economic Belt

As the world’s largest carbon emitter, China has been committed to carbon emission reduction and green development. Under the goal of “double carbon”, adjusting the industrial structure and promoting the development of producer services are regarded as effective emission reduction paths. In this paper, from the perspective of market entry of enterprises, we firstly investigate the transmission mechanism between market entry of enterprises and industrial agglomeration and summarize the carbon emission reduction mechanism of producer services. Based on the panel data of 110 prefecture-level cities in China’s Yangtze River Economic Belt (YREB) from 2003 to 2017, we analyze the impact of producer services on carbon emission reduction by using the dynamic spatial panel model. The empirical results show that China’s urban carbon dioxide emissions have noticeable spatial spillover effects and high emission club clustering characteristics and exhibit a noticeable snowball effect and leakage effect in time and space dimensions. The development of the producer services can effectively reduce carbon emission levels, effectively solving the dilemma of “stabilizing growth and promoting emission reduction”. Furthermore, there is an apparent synergistic effect between enterprises’ market entry and industrial agglomeration. The agglomeration of producer services can effectively promote the entry of innovative new enterprises, thus increasing the carbon emission reduction effect. However, due to resource mismatch and isomorphic development, this carbon emission reduction effect has apparent industrial heterogeneity and regional heterogeneity. Finally, this paper makes suggestions for optimizing regional industrial structure, strengthening inter-regional linkage cooperation, and promoting the advanced development of the producer services.