Administration or marketization: Environmental regulation, marketization and agricultural green total factor productivity

The mature market can effectively reflect the value of green agricultural products, but the market in developing countries is developing slowly, so how to implement administrative environmental policies while cultivating the market has become the key to the green development of agriculture. In this paper, the government and the market are discussed under the common goal of agricultural green development. Based on the provincial panel data of China, taking agricultural green total factor productivity (AGTFP) as a breakthrough point, the relationship between environmental regulation tools, marketization processes and agricultural green development, specific applicable conditions and transmission mechanisms are explored, and further subdivided into factor and product markets to verify their correlation with AGTFP. The results show that environmental regulation and marketization processes and AGTFP are positively correlated. The former can establish a positive relationship with AGTFP through resource reallocation and technological innovation, and the latter can do so by improving the level of information and land transfer and perfecting infrastructure construction. These findings will provide new ideas for developing countries similar to China's agricultural development and enlighten developing countries pay full attention to and cultivate the market while formulating appropriate environmental regulation policies. In addition, they also need to coordinate the development of technology and organizations.