The Effect of Agriculture Insurance on Agricultural Carbon Emissions in China: The Mediation Role of Low-Carbon Technology Innovation

Abstract

Global greenhouse gas emissions are increasing, with carbon dioxide being the most prominent. It is urgent to address and resolve the carbon emissions problem. This study investigates the mediating mechanism of agricultural insurance and low-carbon technology innovation on agricultural carbon emissions. We employed a two-way fixed effect panel model with data from 30 provinces in China from 2001–2019 to validate our hypotheses. The results demonstrate that (1) agricultural insurance can play an effective role in reducing agricultural carbon emissions, and (2) an indirect effect of agricultural insurance development on agricultural carbon emissions through low-carbon technology innovation exists. These results indicate that agricultural insurance could suppress agricultural carbon emissions indirectly through low-carbon technology innovation, thus preventing the acceleration of the greenhouse effect. This study further analyzed regional differences and discovered that the suppression effect of agricultural insurance on agricultural carbon emissions is more significant in the eastern regions and non-main grain-producing areas of China. Therefore, the analysis implies that promoting the development of agricultural insurance to encourage low-carbon technology innovation is crucial to accelerate the process of “carbon peak and neutrality”, especially for the eastern regions and non-main grain-producing areas of China.

Research Themes, Evolution Trends, and Future Challenges in China’s Carbon Emission Studies

“…In economic studies, Chinese scholars have delved extensively into the theoretical underpinnings and empirical analyses concerning the intricate relationship between the economy and carbon emissions. Notable contributions include Zhang's exploration of economic growth [27], Zhou's investigation into industrial structure [28], Raihan's scrutiny of foreign direct investment (FDI) [29], Wang's examination of international trade [30], Jiang's insights into the insurance sector [31], Liu's focus on industrial agglomeration [32], and Ma's exploration of the digital economy [33], spanning across various economic domains. The research outcomes underscore the dependence of numerous economic activities on fossil fuels and other high-carbon energy sources, leading to an escalation in carbon emissions.…”

Blockchain’s Scope and Purpose in Carbon Markets: A Systematic Literature Review

“…Thus, it gave an impetus for launching national compliance carbon markets (CCM), also known as emission trading schemes (ETS) worldwide (Figure 1). According to Jiang et al [3], the ETS of the CCM global share in 2021 was approximately USD 270 billion, representing the equivalent of 15.8Gt CO 2 -e traded on them. According to Refinitiv [4], the total compliance carbon market value in 2021 was EUR 762 billion, or approximately USD 850 billion, up 164% from 2020 on higher carbon prices.…”

“…The research objectives of this study: (1) to investigate the operation features of block-chain in ETS; (2) to reveal the scope of blockchain in carbon offset projects; (3) to assess technology's potential to meet the criteria of quality in carbon offset projects; and (4) to identify the obstacles and challenges of its implementation in carbon markets. The contribution of this study is to provide guidance for decisions and policy-makers, startups, stakeholders and others involved or interested in the field of "3D's concept" (namely decentralization, decarbonization and digitalization) about blockchain's scope and purpose in ETS and carbon offset projects.…”

Research on Green and Low-Carbon Rural Development in China: A Scientometric Analysis Using CiteSpace (1979–2021)

“…Studies of carbon sinks in ecosystems (such as forests, wetlands, and farmland) have been the focus of research in recent years, e.g., forest ecosystem carbon revenue and expenditure as well as the regional distribution and reserve changes of soil-organic carbon [39,40]. The emission reduction ideas and specific suggestions to drive green agricultural transformation with low carbon include increasing carbon constraint indicators in combination with agricultural and rural development planning, accelerating the construction of agricultural carbon emission accounting methodology, actively developing agricultural carbon markets, and using financial measures to promote low-carbon agricultural technologies [13].…”

“…Studies on "green" and "low carbon" in China have received wide attention worldwide [11,12]. Rural areas are an important global source of greenhouse gas emissions and a huge carbon sink system with significant potential contributions to achieving the "dual-carbon" goal [13]. Therefore, agricultural and rural carbon emissions, carbon sinks, carbon reduction measures, and green development are becoming hot interdisciplinary research issues [14][15][16].…”