Subject. China's industrial sectors are important vehicles that made China the global leader of GDP and economic growth. However, China managed to reach such results sacrificing its environment. The study discusses the coordination of actions spurring the economic growth and environmental protection in order to avoid such sacrifices for the sake of the national economic development. Objectives. We examine the mechanism of bilateral effects on the economic growth of China's industries and environmental protection to provide the empirical framework for the reasonable natural protection policy and environmental regulations. Methods. Theoretical projections stem from the analysis of economic literature and empirical research on resources, environment and sustainable economic development in the existing theories of economic growth. Results. Having analyzed how the environmental pollution and the industrial economic growth of China correlated, we found that a set of various environmental pollution indicators strongly differed from the empirical findings of the study. Therefore, it is still not found how the economic growth of China influenced the environmental pollution. Conclusions and Relevance. The improvement of the environmental quality is not an unavoidable endogenous result of the economic growth. If the Chinese industrial sectors continues growing extensively, the environment will grow even more polluted. It is necessary to determine a reasonable environmental protection policy to combine it with economic growth, and tighten the environmental regulations.
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