Artificial intelligence policy is emerging as a powerful tool for green economic transformation, according to new research, which examines how targeted government interventions are reshaping urban sustainability outcomes across China. The study, titled “Unlocking Green Growth: How Artificial Intelligence Policies Enhance Green Economic Efficiency—Evidence from China,” published in Sustainability, provides a detailed assessments of how AI-focused pilot policies influence green economic efficiency across 267 Chinese cities over a 16-year period. Using a quasi-natural experiment based on China’s National New-Generation Artificial Intelligence Innovation Development Pilot Zones, the researchers demonstrate that AI policy is not merely a technological initiative but a structural economic instrument capable of improving environmental performance while sustaining growth. The study finds clear and consistent evidence that cities designated as AI innovation pilot zones experience significant improvements in green economic efficiency, a measure that captures economic output relative to environmental cost. Cities with AI pilot status recorded an average increase in green economic efficiency of over 13 percent compared to non-pilot cities, even after controlling for economic, demographic, and institutional variables.
Published: April 7, 2026 4:48 pm
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