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China's Energy in Transition: Regional and Global Implications

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  • Tianshu CHU
  • Fereidun FESHARAKI
  • Kang WU

Abstract

China is the largest energy user in Asia and the second largest in the world after the US. This paper documents substantial changes of the structure of China's energy use over the past decades. It explores the puzzling phenomena of China's low gross domestic product elasticity of energy consumption. Econometric analysis applying the AutoRegressive Integrated Moving Average model finds that factors such as institutional reforms and structural change can account for a substantial fraction of the downward impacts on the elasticity level. The paper also studies the future energy growth and energy security issues in China, and examines the regional and global impacts of China's rapidly growing energy consumption.

Suggested Citation

  • Tianshu CHU & Fereidun FESHARAKI & Kang WU, 2006. "China's Energy in Transition: Regional and Global Implications," Asian Economic Policy Review, Japan Center for Economic Research, vol. 1(1), pages 134-152, June.
    • Handle: RePEc:bla:asiapr:v:1:y:2006:i:1:p:134-152
    DOI: 10.1111/j.1748-3131.2006.00014.x
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    Cited by:

    1. Burke, Paul J. & Liao, Hua, 2015. "Is the price elasticity of demand for coal in China increasing?," China Economic Review, Elsevier, vol. 36(C), pages 309-322.
    2. Lin, Boqiang & Zhang, Guoliang, 2013. "Estimates of electricity saving potential in Chinese nonferrous metals industry," Energy Policy, Elsevier, vol. 60(C), pages 558-568.
    3. Jian Zhang & Denise Eby Konan, 2010. "The Sleeping Giant Awakes: Projecting Global Implications of China's Energy Consumption," Review of Development Economics, Wiley Blackwell, vol. 14(4), pages 750-767, November.

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