Analysis of the Impacts of Economic Growth Targets and Marketization on Energy Efficiency: Evidence from China

OEnergy efficiency is a vital factor to promote sustainable development. In this paper, the directional distance function-global Malmquist-Luenberger model (DDF-GML) is applied to measure the energy efficiency levels of 30 provinces in China from 2000 to 2017. Simultaneously, the impacts of the economic growth targets and marketization on energy efficiency are empirically tested using the generalized system moment estimation (SYS-GMM) and mediation effect model. The statistical results reveal that energy efficiency is on the rise every year as a whole. Mediated by marketization, economic growth targets inhibit energy efficiency by distorting marketization. Moreover, there is significant regional heterogeneity in the impacts of economic growth targets on energy efficiency. The inhibition effect of economic growth targets on energy efficiency in the eastern region is greater than in the central and western regions. The above empirical results are determined to be robust through testing.

Automated summary

This paper utilizes the DDF-GML model to measure the energy efficiency levels of 30 provinces in China from 2000 to 2017, and empirically tests the impacts of economic growth targets and marketization on energy efficiency using SYS-GMM and mediation effect model. The results show that economic growth targets and marketization both have significant effects on energy efficiency, and there is regional heterogeneity in these impacts.