It is accepted that improving water efficiency is a key task for China in achieving water sustainability, as the knowledge of water efficiency and its determinants can provide critical information for water policy formulation. To this end, this paper presents a parametric frontier approach to analyze water efficiency performance and its influencing factors in one step. The proposed approach first introduces the Shephard water distance function to construct total-factor water efficiency (TFWE) index and then adopts the stochastic frontier analysis (SFA) technique to compute the index and its determinants. A case study of regions in China from 2000 to 2015 is presented. The main findings are summarized as follows: (1) Both the overall China and most of the regions still have room for improvement in water efficiency. SFA and data envelopment analysis (DEA) might lead to different results in benchmarking water efficiency. Moreover, SFA has higher discriminating power than DEA in this regard. (2) There exists significant disparity of water efficiency among the regions of China, and the difference in TFWE takes on a U-shaped evolution trend, which first decreases in a fluctuation way and then increases monotonically. (3) Factors like industrial structure, import and export trade, environmental regulation and urbanization level have a positive impact on water efficiency, while resource endowment and economic level exhibit negative and nonlinear effects, respectively. Finally, several policy recommendations are made to improve water efficiency levels and promote water sustainability.
Although there are many articles on carbon emission reduction of sustainable supply chain, most of them study the carbon emission reduction efficiency of supply chain in the case of single carbon policy or demand determination. Based on previous studies, this paper considered a supply chain consisting of a single manufacturer and a single retailer in an uncertain demand market. The effects of demand randomness and different carbon policies on carbon emission reduction level and optimal decision in supply chain were studied by constructing mean-variance utility function and Stackelberg game. Due to the difficulty of data acquisition, this paper verified the equalization results by numerical simulation. The results show that: (1) cap-and-trade policy, government subsidy policy and carbon tax policy can promote the carbon emission reduction investment of supply chain, while carbon tax policy will lead to the decline of the overall profit of supply chain; (2) For the manufacturer and the retailer, adopting a strategy with a low degree of risk avoidance will increase its own profits; (3) For the supply chain as a whole, it is more advantageous for manufacturers to adopt higher risk avoidance strategies, while retailers to adopt lower risk avoidance strategies. In addition, in the conclusion, this paper puts forward management implications related to stakeholders, thus providing help for the development of sustainable supply chain.
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