关键词: 地方政府环境治理, 产能过剩, 产能利用率, 政府干预

Abstract: Eliminating backward capacity through environmental governance is an important measure to effectively resolve overcapacity of enterprises in the new era. Compared with the passive implementation of central environmental protection policies, the environmental governance objectives and measures in local governments' work reports can not only effectively bring into play the subjective initiative of environmental governance of the relevant departments at the local level, but also formulate appropriate environmental protection policies based on the actual situation of the region. However, there is a lack of research based on the perspective of local government environmental governance.
This paper uses Python to extract the frequency of words related to environmental protection in the work reports of local governments, constructs the environmental governance indicators of local governments, and empirically tests the impact of local government environmental governance on enterprise overcapacity. The findings are as follows: Firstly, local government environmental governance has significantly improved the capacity utilization rate of enterprises, and this result is still valid after the endogenous and robust tests are carried out using instrumental variable method. Secondly, local government environmental governance inhibits over-investment of enterprises by exerting the “following cost effect” and pushes enterprises to make green technological innovation by giving play to the “innovation compensation effect”, thus forcing enterprises to eliminate backward production capacity and improve capacity utilization. Thirdly, the heterogeneity analysis shows that the effect of capacity reduction of local government environmental governance is more significant in industries with fierce “capacity competition” and areas with high degree of marketization, and the economic consequence test finds that the effect of local government environmental governance drives the improvement of enterprise value.
The research in this paper not only provides new evidence for the government intervention theory of overcapacity, but also extends the theoretical framework of government environmental governance to resolve overcapacity, as well as provides a reference for the formulation of current overcapacity policy.

Key words: Local Government Environmental Governance, Enterprise Overcapacity, Capacity Utilization, Government Intervention