IDEAS home Printed from https://ideas.repec.org/a/eee/jrpoli/v65y2020ics0301420719301710.html
   My bibliography  Save this article

The impact of China's ‘Atmosphere Ten Articles’ policy on total factor productivity of energy exploitation: Empirical evidence using synthetic control methods

Author

Listed:
  • Peng, Jiachao
  • Xiao, Jianzhong
  • Zhang, Lian
  • Wang, Teng

Abstract

Implementation of the atmospheric policy is important to influence energy production and exploitation. By implementing the atmospheric policy, this study has simulated and compared the energy exploitation total factor productivity (TFP) change path for the energy extraction and enrichment areas applying the synthetic control method, using Chinese panel data for the period from 2007 to 2016. The results show that the atmospheric policy will help the growth of TFP in Shandong, Anhui, and Shanxi, but the impact in most areas is not observable, and the lagging effect of atmospheric policy is conspicuous in Gansu, Shaanxi, Liaoning, and other places. Based on this, the study proposes three mechanisms to explain how atmospheric policy affects energy production TFP and uses a panel Tobit model to test the path of action. The test results show that implementation of the atmospheric policy has not improved energy exploitation TFP effectively, but it has to be implemented. Time effect and the model estimation results show that the atmospheric policy and technological innovations are more conducive to improving energy exploitation TFP, but the role of industrial division of labour and the energy market price mechanism makes it difficult to promote energy exploitation TFP. The influence of atmospheric policy varies in different regions and is inconsistent in the northeast and east. The regional atmospheric policy can significantly promote energy exploitation TFP in the region, but the central and western regions do not show significant inverse relationship with the energy exploitation TFP.

Suggested Citation

  • Peng, Jiachao & Xiao, Jianzhong & Zhang, Lian & Wang, Teng, 2020. "The impact of China's ‘Atmosphere Ten Articles’ policy on total factor productivity of energy exploitation: Empirical evidence using synthetic control methods," Resources Policy, Elsevier, vol. 65(C).
    • Handle: RePEc:eee:jrpoli:v:65:y:2020:i:c:s0301420719301710
    DOI: 10.1016/j.resourpol.2019.101544
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0301420719301710
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.resourpol.2019.101544?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Wang, Qunwei & Zhang, Cheng & Cai, Wanhuan, 2017. "Factor substitution and energy productivity fluctuation in China: A parametric decomposition analysis," Energy Policy, Elsevier, vol. 109(C), pages 181-190.
    2. Zhao, Xingrong & Zhang, Xi & Shao, Shuai, 2016. "Decoupling CO2 emissions and industrial growth in China over 1993–2013: The role of investment," Energy Economics, Elsevier, vol. 60(C), pages 275-292.
    3. Alberto Abadie & Javier Gardeazabal, 2003. "The Economic Costs of Conflict: A Case Study of the Basque Country," American Economic Review, American Economic Association, vol. 93(1), pages 113-132, March.
    4. Mukesh Eswaran & Tracy Lewis, 1985. "Exhaustible Resources and Alternative Equilibrium Concepts," Canadian Journal of Economics, Canadian Economics Association, vol. 18(3), pages 459-473, August.
    5. Krugman, Paul, 1991. "Increasing Returns and Economic Geography," Journal of Political Economy, University of Chicago Press, vol. 99(3), pages 483-499, June.
    6. Mulder, Peter & de Groot, Henri L.F. & Pfeiffer, Birte, 2014. "Dynamics and determinants of energy intensity in the service sector: A cross-country analysis, 1980–2005," Ecological Economics, Elsevier, vol. 100(C), pages 1-15.
    7. Pindyck, Robert S, 1980. "Uncertainty and Exhaustible Resource Markets," Journal of Political Economy, University of Chicago Press, vol. 88(6), pages 1203-1225, December.
    8. Qunwei Wang & Ye Hang & Jin‐Li Hu & Ching‐Ren Chiu, 2018. "An alternative metafrontier framework for measuring the heterogeneity of technology," Naval Research Logistics (NRL), John Wiley & Sons, vol. 65(5), pages 427-445, August.
    9. Voigt, Sebastian & De Cian, Enrica & Schymura, Michael & Verdolini, Elena, 2014. "Energy intensity developments in 40 major economies: Structural change or technology improvement?," Energy Economics, Elsevier, vol. 41(C), pages 47-62.
    10. He, Guojun & Fan, Maoyong & Zhou, Maigeng, 2016. "The effect of air pollution on mortality in China: Evidence from the 2008 Beijing Olympic Games," Journal of Environmental Economics and Management, Elsevier, vol. 79(C), pages 18-39.
    11. Ayres, Robert U. & Turton, Hal & Casten, Tom, 2007. "Energy efficiency, sustainability and economic growth," Energy, Elsevier, vol. 32(5), pages 634-648.
    12. Nils Braakmann & Alexander Vogel, 2011. "How does economic integration influence employment and wages in border regions? The case of the EU enlargement 2004 and Germany’s eastern border," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 147(2), pages 303-323, June.
    13. Mulder, Peter & de Groot, Henri L.F., 2012. "Structural change and convergence of energy intensity across OECD countries, 1970–2005," Energy Economics, Elsevier, vol. 34(6), pages 1910-1921.
    14. Harold Hotelling, 1931. "The Economics of Exhaustible Resources," Journal of Political Economy, University of Chicago Press, vol. 39, pages 137-137.
    15. Artjoms Ivlevs, 2013. "Minorities on the move? Assessing post-enlargement emigration intentions of Latvia’s Russian speaking minority," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 51(1), pages 33-52, August.
    16. Stern, David I., 1993. "Energy and economic growth in the USA : A multivariate approach," Energy Economics, Elsevier, vol. 15(2), pages 137-150, April.
    17. Ou, Xunmin & Zhang, Xiliang & Chang, Shiyan, 2010. "Alternative fuel buses currently in use in China: Life-cycle fossil energy use, GHG emissions and policy recommendations," Energy Policy, Elsevier, vol. 38(1), pages 406-418, January.
    18. Abadie, Alberto & Diamond, Alexis & Hainmueller, Jens, 2010. "Synthetic Control Methods for Comparative Case Studies: Estimating the Effect of California’s Tobacco Control Program," Journal of the American Statistical Association, American Statistical Association, vol. 105(490), pages 493-505.
    19. Bo Honore & Ekaterini Kyriazidou & J. L. Powell, 2000. "Estimation of tobit-type models with individual specific effects," Econometric Reviews, Taylor & Francis Journals, vol. 19(3), pages 341-366.
    20. Lizhan Cao, 2017. "The Dynamics of Structural and Energy Intensity Change," Discrete Dynamics in Nature and Society, Hindawi, vol. 2017, pages 1-10, March.
    21. Hekkert, Marko P. & Hendriks, Franka H. J. F. & Faaij, Andre P. C. & Neelis, Maarten L., 2005. "Natural gas as an alternative to crude oil in automotive fuel chains well-to-wheel analysis and transition strategy development," Energy Policy, Elsevier, vol. 33(5), pages 579-594, March.
    22. Lee, Chien-Chiang & Chang, Chun-Ping, 2008. "Energy consumption and economic growth in Asian economies: A more comprehensive analysis using panel data," Resource and Energy Economics, Elsevier, vol. 30(1), pages 50-65, January.
    23. Oh, Dong-hyun & Heshmati, Almas, 2010. "A sequential Malmquist-Luenberger productivity index: Environmentally sensitive productivity growth considering the progressive nature of technology," Energy Economics, Elsevier, vol. 32(6), pages 1345-1355, November.
    24. Wang, Wensheng & Zhang, Chengyi, 2018. "Evaluation of relative technological innovation capability: Model and case study for China's coal mine," Resources Policy, Elsevier, vol. 58(C), pages 144-149.
    25. Benjamin Elsner, 2013. "Does emigration benefit the stayers? Evidence from EU enlargement," Journal of Population Economics, Springer;European Society for Population Economics, vol. 26(2), pages 531-553, April.
    26. Wurlod, Jules-Daniel & Noailly, Joëlle, 2018. "The impact of green innovation on energy intensity: An empirical analysis for 14 industrial sectors in OECD countries," Energy Economics, Elsevier, vol. 71(C), pages 47-61.
    27. Liu, Xiao & Zhou, Dequn & Zhou, Peng & Wang, Qunwei, 2017. "Dynamic carbon emission performance of Chinese airlines: A global Malmquist index analysis," Journal of Air Transport Management, Elsevier, vol. 65(C), pages 99-109.
    28. Peter Erickson & Michael Lazarus & Georgia Piggot, 2018. "Limiting fossil fuel production as the next big step in climate policy," Nature Climate Change, Nature, vol. 8(12), pages 1037-1043, December.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Yi Li & Lili Ding & Yongliang Yang, 2020. "Can the Introduction of an Environmental Target Assessment Policy Improve the TFP of Textile Enterprises? A Quasi-Natural Experiment Based on the Huai River Basin in China," Sustainability, MDPI, vol. 12(4), pages 1-19, February.
    2. Wang, Yadong & Wang, Delu & Shi, Xunpeng, 2022. "Exploring the multidimensional effects of China's coal de-capacity policy: A regression discontinuity design," Resources Policy, Elsevier, vol. 75(C).
    3. Chen, Xing & Lin, Boqiang, 2021. "Towards carbon neutrality by implementing carbon emissions trading scheme: Policy evaluation in China," Energy Policy, Elsevier, vol. 157(C).
    4. Guo, Wen & Liu, Xiaorui, 2022. "Market fragmentation of energy resource prices and green total factor energy efficiency in China," Resources Policy, Elsevier, vol. 76(C).
    5. Hengfan Lu & Jiachao Peng & Xiangyi Lu, 2022. "Do Factor Market Distortions and Carbon Dioxide Emissions Distort Energy Industry Chain Technical Efficiency? A Heterogeneous Stochastic Frontier Analysis," Energies, MDPI, vol. 15(17), pages 1-22, August.
    6. Xiaolin Wang & Xiangyi Lu & Na Zhou & Jianzhong Xiao & Jun Chen, 2020. "Does Environmental Regulation Affect Natural Gas Consumption? Evidence from China with Spatial Insights," Sustainability, MDPI, vol. 12(8), pages 1-18, April.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Fan, Maoqing & Zheng, Haitao, 2019. "The impact of factor price changes and technological progress on the energy intensity of China's industries: Kalman filter-based econometric method," Structural Change and Economic Dynamics, Elsevier, vol. 49(C), pages 340-353.
    2. Jimenez, Raul & Mercado, Jorge, 2014. "Energy intensity: A decomposition and counterfactual exercise for Latin American countries," Energy Economics, Elsevier, vol. 42(C), pages 161-171.
    3. Wassmann, Pia, 2015. "The Economic Effect of the EU Eastern Enlargement for Border Regions in the Old Member States," VfS Annual Conference 2015 (Muenster): Economic Development - Theory and Policy 113028, Verein für Socialpolitik / German Economic Association.
    4. Pia Wassmann, 2015. "The Economic Effect of the EU Eastern Enlargement for Border Regions in the Old Member States," ERSA conference papers ersa15p774, European Regional Science Association.
    5. Wassmann, Pia, 2016. "The Economic Effects of the EU Eastern Enlargement on Border Regions in the Old Member States," Hannover Economic Papers (HEP) dp-582, Leibniz Universität Hannover, Wirtschaftswissenschaftliche Fakultät.
    6. Tomasz Serwach, 2022. "The European Union and within-country income inequalities. The case of the New Member States," Working Papers hal-03548416, HAL.
    7. Becker, Sascha O. & Heblich, Stephan & Sturm, Daniel M., 2021. "The impact of public employment: Evidence from Bonn," Journal of Urban Economics, Elsevier, vol. 122(C).
    8. Wurlod, Jules-Daniel & Noailly, Joëlle, 2018. "The impact of green innovation on energy intensity: An empirical analysis for 14 industrial sectors in OECD countries," Energy Economics, Elsevier, vol. 71(C), pages 47-61.
    9. Ajayi, V. & Reiner, D., 2018. "European Industrial Energy Intensity: The Role of Innovation 1995-2009," Cambridge Working Papers in Economics 1835, Faculty of Economics, University of Cambridge.
    10. Savona, Maria & Ciarli, Tommaso, 2019. "Structural Changes and Sustainability. A Selected Review of the Empirical Evidence," Ecological Economics, Elsevier, vol. 159(C), pages 244-260.
    11. Wang, Xuliang & Xu, Lulu & Ye, Qin & He, Shi & Liu, Yi, 2022. "How does services agglomeration affect the energy efficiency of the service sector? Evidence from China," Energy Economics, Elsevier, vol. 112(C).
    12. Zhang, Yue-Jun & Cheng, Hao-Sen, 2021. "The impact mechanism of the ETS on CO2 emissions from the service sector: Evidence from Beijing and Shanghai," Technological Forecasting and Social Change, Elsevier, vol. 173(C).
    13. Xu, Hangtian, 2016. "Multiple Equilibria in the Urban Spatial Structure: Evidence from the Hanshin Earthquake," MPRA Paper 75219, University Library of Munich, Germany.
    14. Makovec, Mattia & Purnamasari, Ririn & Sandi, Matteo & Savitri, Astrid, 2016. "Intended vs. unintended consequences of migration restriction policies: evidence from a natural experiment in Indonesia," ISER Working Paper Series 2016-13, Institute for Social and Economic Research.
    15. Wang, En-Ze & Lee, Chien-Chiang & Li, Yaya, 2022. "Assessing the impact of industrial robots on manufacturing energy intensity in 38 countries," Energy Economics, Elsevier, vol. 105(C).
    16. Fuchs-Schündeln, N. & Hassan, T.A., 2016. "Natural Experiments in Macroeconomics," Handbook of Macroeconomics, in: J. B. Taylor & Harald Uhlig (ed.), Handbook of Macroeconomics, edition 1, volume 2, chapter 0, pages 923-1012, Elsevier.
    17. Chu, Shuai & Liu, Xiangbo, 2021. "Do research universities boost regional economic development? - Evidence from China," GLO Discussion Paper Series 748, Global Labor Organization (GLO).
    18. Michał Gostkowski & Tomasz Rokicki & Luiza Ochnio & Grzegorz Koszela & Kamil Wojtczuk & Marcin Ratajczak & Hubert Szczepaniuk & Piotr Bórawski & Aneta Bełdycka-Bórawska, 2021. "Clustering Analysis of Energy Consumption in the Countries of the Visegrad Group," Energies, MDPI, vol. 14(18), pages 1-25, September.
    19. Jo Reynaerts & Jakob Vanschoonbeek, 2022. "The economics of state fragmentation: Assessing the economic impact of secession," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 37(1), pages 82-115, January.
    20. Zhigang Li & Hangtian Xu, 2018. "High‐speed railroads and economic geography: Evidence from Japan," Journal of Regional Science, Wiley Blackwell, vol. 58(4), pages 705-727, September.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jrpoli:v:65:y:2020:i:c:s0301420719301710. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/inca/30467 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.