The impact of carbon emission trading schemes on urban-rural income inequality in China: A multi-period difference-in-differences method

Yu, Fan; De, Xiao; Chang, Meng-Shiuh

doi:10.1016/j.enpol.2021.112652

Cited by 48 publications

(19 citation statements)

References 54 publications

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“…Scholars have found that the total factor productivity of enterprises in pilot areas of carbon emission trading policy is significantly higher than that in non-pilot areas (Hu and Ding, 2020;Xiao et al, 2021). In terms of economic growth, the carbon emission trading policy not only promotes long-term sustainable economic growth in pilot regions Dong et al, 2020) but also is conducive to reducing the urban-rural income gap (Yu et al, 2021), and China's carbon emission trading policy mainly based on the CDM is conducive to absorbing investment from developed countries (Liu and Dai, 2004). Among them, the studies of Lee (2013), Gong et al (2019), and Sun and Zhou (2020) are most similar to this study.…”

Section: Literature Reviewmentioning

confidence: 99%

Does the Carbon Emission Trading Policy Promote Foreign Direct Investment?: A Quasi-Experiment From China

Shao

Yu²,

Chen³

2022

Front. Environ. Sci.

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As an important policy to promote global energy transition and carbon emission reduction, does the carbon emission trading policy help promote foreign direct investment inflows, thus alleviating the contradiction between environment and economic development? Based on the “OLI paradigm,” by using the data of China’s 30 provinces from 2007 to 2016 and taking China’s pilot implementation carbon emission transaction policy in 2013 as the natural experiment, so as to construct a differences-in-differences model, this study empirically analyzed the impact of carbon emission transaction policies on foreign direct investment and conducted an in-depth analysis and discussion on related heterogeneity. The empirical results show that 1) there is a positive correlation between the carbon emission trading policy and foreign direct investment; 2) the results of heterogeneity analysis show that the effect of carbon emission trading policy on the increase in FDI is more significant in the areas with a stronger environmental regulation, a higher degree of marketization, and low energy consumption. The conclusions of this study enrich the analysis of the effectiveness of government environmental policies from the perspective of both environment and economic development and provide relevant policy enlightenment for developing countries in environmental regulation and attracting foreign direct investment.Systematic Review Registration: [website], identifier [registration number].

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Section: Literature Reviewmentioning

confidence: 99%

Does the Carbon Emission Trading Policy Promote Foreign Direct Investment?: A Quasi-Experiment From China

Shao

Yu²,

Chen³

2022

Front. Environ. Sci.

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“…The dependent variables do not affect the independent variables, which is the core condition of consistency and the minimum requirement for causal inference of OLS estimator, as well as the key factor for the suitability of DID method. In order to verify the hypothesis that innovation quality does not affect carbon mitigation regulations, according to Yu et al(2021), Hurlin(2012), this paper proposes Granger causality test for the potential causality of innovation quality on carbon mitigation regulations. The results of Granger causality test listed in Table 5 show that all 𝑍 ̂ test estimators are not significantly equal to 0, which indicates that the null hypothesis cannot be rejected.…”

Section: Discussion About the Endogeneity (1) Measurement Errormentioning

confidence: 99%

Do different types of carbon mitigation regulations have heterogeneous effects on innovation quality?

Yang

2022

Preprint

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Carbon peak and carbon neutralization as a global mission cannot be completed without systematically designed carbon mitigation regulations. In order to achieve the carbon emission reduction as formulated in the Paris Agreement and fulfil the promises made at the United Nations General Assembly, the Chinese government has promulgated various types of regulations to curb carbon emission with the hope of realizing the Porter effect. Selecting low carbon pilot cities and carbon emission trading schema as the research objects, this study employs a DID model to investigate the effects of carbon mitigation regulations on innovation quality and its heterogeneity. The empirical results reveal that market-based carbon mitigation regulations can significantly achieve the Porter effect and improve innovation quality. Furthermore, the government financial situation and the technical efficiency change have important moderating and mediating effects respectively. It is recommended that a full play of the market be given in China for the Porter effect.

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“…e fact that China's coal emissions trading policy improves regional energy efficiency was demonstrated in the article of Zhang et al [5]. More interestingly, the research results of Yu et al show that carbon emission trading policy may significantly reduce urban-rural income inequality [3], and there are more studies on the evaluation of carbon emission trading policy.…”

Section: Literature Reviewmentioning

confidence: 98%

“…is article focuses on the impact of the carbon emission trading policy on EECI, which fills this research gap. Furthermore, recent articles on the evaluation of carbon emission trading policy make extensive use of DID approach [1,3,4,11,20,22].…”

Section: Literature Reviewmentioning

confidence: 99%

“…As a matter of fact, the Chinese government has implemented several policies trying to achieve energy conservation and emission reduction in the past two decades, and the carbon emissions trading policy is one of them. Carbon emission trading policy is considered as a market-oriented environmental regulation [3], which has been e ectively carried out in Europe and other regions; and has recently proved to be an e ective energy conservation and emission reduction policy implemented in China by empirical research [1]. In 2011, China's National Development and Reform Commission (NDRC) declared a pilot carbon emissions trading scheme, approving Beijing, Shanghai, Tianjin, Chongqing, Hubei, Guangdong, and Shenzhen to start carbon emissions trading.…”

Section: Introductionmentioning

confidence: 99%

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Evaluating the Effect of China’s Carbon Emission Trading Policy on Energy Efficiency of the Construction Industry Based on a Difference‐in‐Differences Method

Xie

Wang

2022

Advances in Civil Engineering

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China’s construction industry makes important contributions to energy consumption and pollution emissions. It is significant to improve energy efficiency in the construction industry. Since 2011, the introduction of China’s carbon emission trading policy has had a great impact on energy conservation and emission reduction. The implementation of the carbon emission trading policy provides us with an opportunity to find solutions to improve the energy efficiency of the construction industry (EECI) in China. In this article, the implementation of carbon emission trading is regarded as a quasi-natural experiment, and the impact of the carbon emission trading policy on the energy efficiency of the construction industry is evaluated by analyzing the panel data related to the energy of the construction industry in 30 provincial regions from 2008 to 2016 through a difference-in-differences method. The main conclusions are as follows. First, the carbon emission trading policy can improve EECI. Second, the carbon emission trading policy can achieve the policy effect of improving EECI by optimizing the allocation of construction machinery resources and enhancing regional technical innovation. At the same time, strengthening government environmental regulation can strengthen the policy effect as well. Finally, some policy implications based on the study are proposed.

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The impact of carbon emission trading schemes on urban-rural income inequality in China: A multi-period difference-in-differences method

Cited by 48 publications

References 54 publications

Does the Carbon Emission Trading Policy Promote Foreign Direct Investment?: A Quasi-Experiment From China

Does the Carbon Emission Trading Policy Promote Foreign Direct Investment?: A Quasi-Experiment From China

Do different types of carbon mitigation regulations have heterogeneous effects on innovation quality?

Evaluating the Effect of China’s Carbon Emission Trading Policy on Energy Efficiency of the Construction Industry Based on a Difference‐in‐Differences Method

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