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<p>In light of growing challenges posed by water pollution, understanding the multi-faceted impacts of water quality on economic performance is an imperative for formulating effective policies aimed at sustainable development. Existing studies tend to be constrained by limited local data, and lack a perspective on spatial dynamics and regional variations in water quality effects. This study addresses these gaps by examining the influence of upstream water quality on downstream economic growth in China, utilizing high-resolution panel data. Findings reveal that a 1% increase in upstream biochemical oxygen demand (BOD) concentration reduces downstream economic growth by 0.25% nationally. Regionally, the constraining effect varies significantly, ranging from 0.38% in Southwest China (β=−0.38) to 0.92% in North China (β= −0.92). Notably, even in regions with non-polluted water, upstream water quality deterioration continues to impede downstream economic growth. These findings underscore the critical need to integrate water quality considerations into economic policy frameworks and highlight the importance of coordinated, cross-regional water quality management strategies to foster sustainable economic development.</p>

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Assessing the impact of upstream water quality levels on downstream economic growth in China: A high-resolution panel study

  • 期刊论文

  • 发表日期：

    2025年12月17日

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  • Yu Ding,
  • Chenglong Wang,
  • Chenyang Shuai,
  • Xi Chen,
  • Jingran Sun,
  • Bu Zhao

摘要

In light of growing challenges posed by water pollution, understanding the multi-faceted impacts of water quality on economic performance is an imperative for formulating effective policies aimed at sustainable development. Existing studies tend to be constrained by limited local data, and lack a perspective on spatial dynamics and regional variations in water quality effects. This study addresses these gaps by examining the influence of upstream water quality on downstream economic growth in China, utilizing high-resolution panel data. Findings reveal that a 1% increase in upstream biochemical oxygen demand (BOD) concentration reduces downstream economic growth by 0.25% nationally. Regionally, the constraining effect varies significantly, ranging from 0.38% in Southwest China (β=−0.38) to 0.92% in North China (β= −0.92). Notably, even in regions with non-polluted water, upstream water quality deterioration continues to impede downstream economic growth. These findings underscore the critical need to integrate water quality considerations into economic policy frameworks and highlight the importance of coordinated, cross-regional water quality management strategies to foster sustainable economic development.