Abstract: The “Environmental Decade” of the 1970s in the United States,witnessed strict environmental regulation causing significant disruptions to the national economy and triggering economic pains.As a result,the conflict between environmental regulation and economic development dominated for a long time.Starting from the late 1980s,the U.S.economy have steadily recovered,and environmental governance have begun to show initial results.And the government and the public's perception of the relationship between the two have changed.Against this backdrop,Professor Michael Porter at HarvardBusiness School proposed the famous “Porter Hypothesis”,arguing that relying on technological innovation to offset the costs of environmental regulation could achieve a harmonious unity of economic development and environmental governance.As a summary of the American experience,the “Porter Hypothesis” provided a good prescription for pollution control from an economic perspective,but it is not universally applicable.In practice,the validity of the “Porter Hypothesis” is extremely complex.Regarding its rationality and extension,we should give them recognition and actively draw lessons from them.As for its flaws,we should criticize them and recognize their essential characteristics.

Key words: environmental regulation, the Porter Hypothesis, deindustrialization, economic structure