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Evaluation of Optimal Policy on Environmental Change through Green Consumption

Author

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  • Haiwei Jiang

    (School of International Trade and Economics, Central University of Finance and Economics, Beijing 102206, China)

  • Yiyao He

    (School of Economics, Hangzhou Normal University, Hangzhou 311121, China)

Abstract

This paper explores the relationship between green consumption and the environment from a new perspective of green consumption on the demand side. This paper further investigates how to design an environmental policy package to achieve optimal social allocation. The results show that: first, green consumption can still improve the environment without supply-driven policy; second, demand-driven environmental change is better than supply-driven change in improving the environment and increasing social welfare; and third, a policy package which includes green consumption is more efficient.

Suggested Citation

  • Haiwei Jiang & Yiyao He, 2022. "Evaluation of Optimal Policy on Environmental Change through Green Consumption," Sustainability, MDPI, vol. 14(9), pages 1-14, April.
    • Handle: RePEc:gam:jsusta:v:14:y:2022:i:9:p:4869-:d:796712
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    Cited by:

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    2. Xinghua Wang & Shunchen Wu & Xiaojuan Qin & Meixiang La & Haixia Zuo, 2022. "Informal Environment Regulation, Green Technology Innovation and Air Pollution: Quasi-Natural Experiments from Prefectural Cities in China," Sustainability, MDPI, vol. 14(10), pages 1-13, May.

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