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The Economy-Carbon Nexus in China: A Multi-Regional Input-Output Analysis of the Influence of Sectoral and Regional Development

Author

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  • Xin Yan

    (School of Humanities and Economic Management, China University of Geosciences (Beijing), Beijing 100083, China
    These authors contributed equally to this study and shared first authorship.)

  • Jianping Ge

    (School of Humanities and Economic Management, China University of Geosciences (Beijing), Beijing 100083, China
    These authors contributed equally to this study and shared first authorship.)

Abstract

China has become the world’s largest carbon dioxide (CO 2 ) emitter. Sectoral production activities promote economic development while also adding considerably to national CO 2 emissions. Due to their different sectoral structures, each region shows different levels of economic development and CO 2 emissions. The Chinese government hopes to achieve the dual objectives of economic growth and CO 2 emissions reduction by encouraging those sectors that have high economic influence and low environmental influence. Based on the above background, this study constructed an inter-regional sectoral economic influence coefficient (REIC) and a CO 2 emissions influence coefficient (RCIC) based on the basic multi-regional input-output (MRIO) model to analyse the economy-carbon nexus of 17 sectors in 30 regions in China in 2010. The results showed that most Chinese sectors and regions had low CO 2 emissions influences in 2010. However, some sectors showed negative environmental influences. Specifically, the mining-related sectors showed high CO 2 emissions influence with low economic influence. It is encouraging that some light industry and high-end equipment manufacturing sectors had low CO 2 emissions influence with high economic influence. For regions, geographic location and past preferential policies are the most important factors influencing local economic growth and CO 2 emissions reduction. Most inland regions have low economic influence with high or low CO 2 emissions influence. Meanwhile, most coastal regions showed high economic influence with low CO 2 emissions influence. Finally, we propose some policy implications for sectors and regions.

Suggested Citation

  • Xin Yan & Jianping Ge, 2017. "The Economy-Carbon Nexus in China: A Multi-Regional Input-Output Analysis of the Influence of Sectoral and Regional Development," Energies, MDPI, vol. 10(1), pages 1-28, January.
    • Handle: RePEc:gam:jeners:v:10:y:2017:i:1:p:93-:d:87757
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