Journal
ENERGY ECONOMICS
Volume 108, Issue -, Pages -Publisher
ELSEVIER
DOI: 10.1016/j.eneco.2022.105931
Keywords
China's carbon ETS pilots; Green total factor productivity; Heterogeneity; Spatial spillover effect
Categories
Funding
- National Natural Science Foundation of China [71303126, 71603256]
- Shandong Province College Youth Innovation Technology Support Program [2019RWE003]
- Qingdao Philosophy and Social Science Planning and Management Office, China [QDSKL200272]
- Jiangsu Planned Projects for Postdoctoral Research Funds [1601086C]
- Fundamental Research Funds for Central Universities [2021YCPY0112]
- Jiangsu Key Laboratory of Coal-based Greenhouse Gas Control and Utilization [2020KF02]
Ask authors/readers for more resources
China's carbon emissions trading scheme has a positive impact on the green total factor productivity (GTFP) of pilot cities in the short term, with significant effects on industry-dominated cities and spatial spillover effects on neighboring non-pilot cities.
Improving green total factor productivity (GTFP) is required for China's economic catch-up towards the global frontier. As a vital market-driven environmental regulation instrument, China's carbon emissions trading scheme (ETS) plays a great role in achieving this task. In this paper, we constructed a Difference-in-Difference (DID) model to examine the impact of China's ETS pilot policy on city-level GTFP. The results show that the GTFP in ETS pilot cities is increased by 11.4% on average compared with non-pilot cities. However, the positive impact exists only in a short term and lasts five years since policy implementation. Heterogeneity analysis shows that, compared with non-industry-dominated cities, the GTFP in industry-dominated cities has been greatly promoted due to the ETS pilots. In addition, China's ETS pilots produce significant spatial spillover effects on neighboring non-pilot cities. Finally, several recommendations concerning China's ETS policy and GTFP improvement are put forward.
Authors
I am an author on this paper
Click your name to claim this paper and add it to your profile.
Reviews
Recommended
No Data Available