The Power of Collaboration: How Does Green Innovation Network Affect Urban Green Total Factor Productivity?

Abstract

Global climate change has necessitated a transition to sustainable development, prompting nations to prioritize green total factor productivity (GTFP) as a key indicator of economic and environmental efficiency. This study examines the role of the green innovation network (GIN) in enhancing urban GTFP within China’s Yangtze River Delta (YRD)—a region pivotal to national economic growth and ecological sustainability. Using data from 41 cities spanning 2011 to 2020, we constructed the GIN based on inter-city green cooperative patents and analyzed the network positions of cities using a social network analysis (SNA). Urban GTFP was assessed through the Super-SBM model, and two-way fixed-effects panel models, along with a threshold effect model, were applied to evaluate the impacts of GIN on GTFP. The findings reveal that stronger network positions within the GIN significantly enhance urban GTFP, with green finance further amplifying this effect. These results provide actionable insights for policymakers in developing countries, highlighting the importance of integrated innovation strategies and enhanced green financial systems to promote sustainable urban development.