Carbon trading and regional carbon productivity
Document Type
Article
Publication Date
9-1-2023
Abstract
This study aims to examine how carbon trading policies impact total factor carbon productivity and subsequently provide recommendations for sustainable regional development. Through analyzing the trends in total factor carbon productivity and its mechanisms, this paper suggests that carbon trading policies can significantly enhance total factor carbon productivity. Additional mechanistic tests reveal that carbon trading can promote technological progress, factor accumulation, scale allocation and energy substitution effects; all contributing towards a low-carbon economic transition. These four effects serve to both promote economic growth and contribute towards carbon reduction targets. Therefore, to encourage low-carbon and high-quality development of the region's economy, policymakers must focus not only on constructing and expanding carbon markets, but also emphasize the synergies between these different effects.
Keywords
Carbon trading, Total factor carbon productivity, Energy substitution effects, Low-carbon economic transformation
Divisions
Faculty_of_Business_and_Accountancy
Funders
Research on the Construction of China [Grant no. 72140001],Northeast Forestry University,Harbin Engineering University,Natural Science Foundation of Heilongjiang Province [Grant no.LH2022G008],Peking University
Publication Title
Journal of Cleaner Production
Volume
420
Publisher
Elsevier
Publisher Location
125 London Wall, London, ENGLAND