Based on the panel data of 31 provinces and municipalities in China from 2002 to 2012, we theoretically and empirically examine the influence of economic growth on atmospheric pollution and study the adjusting role in the relation between institutional environment and economic growth and atmosphere pollution. The research results show that economic growth and regional atmosphere pollution demonstrate the inverted U shape relation, and that public participation governance and environment regulation negatively adjust the relation between economic growth and atmosphere emission. This paper enriches the research results in the perspective of atmosphere pollution emission and environment treatment and provides experience basis for making policies in the aspects of changing incentive direction and incentive method of the government in the transformation period, regional environment treatment, governmental environment performance audit and responsibility and so on.