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Does Non-Fossil Energy Usage Lower CO 2 Emissions? Empirical Evidence from China

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  • Deshan Li

    (Xinjiang Institute of Ecology and Geography, Chinese Academy of Sciences, Urumqi 830011, China
    University of Chinese Academy of Sciences, Beijing 100049, China
    Institute for the Economy of Xinjiang Production and Construction Corps, Urumqi 830002, China)

  • Degang Yang

    (Xinjiang Institute of Ecology and Geography, Chinese Academy of Sciences, Urumqi 830011, China)

Abstract

This paper uses an autoregressive distributed lag model (ARDL) to examine the dynamic impact of non-fossil energy consumption on carbon dioxide (CO 2 ) emissions in China for a given level of economic growth, trade openness, and energy usage between 1965 and 2014. The results suggest that the variables are in a long-run equilibrium. ARDL estimation indicates that consumption of non-fossil energy plays a crucial role in curbing CO 2 emissions in the long run but not in the short term. The results also suggest that, in both the long and short term, energy consumption and trade openness have a negative impact on the reduction of CO 2 emissions, while gross domestic product (GDP) per capita increases CO 2 emissions only in the short term. Finally, the Granger causality test indicates a bidirectional causality between CO 2 emissions and energy consumption. In addition, this study suggests that non-fossil energy is an effective solution to mitigate CO 2 emissions, providing useful information for policy-makers wishing to reduce atmospheric CO 2 .

Suggested Citation

  • Deshan Li & Degang Yang, 2016. "Does Non-Fossil Energy Usage Lower CO 2 Emissions? Empirical Evidence from China," Sustainability, MDPI, vol. 8(9), pages 1-11, August.
    • Handle: RePEc:gam:jsusta:v:8:y:2016:i:9:p:874-:d:77002
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    3. Wang, Qiang & Li, Shuyu & Pisarenko, Zhanna, 2020. "Heterogeneous effects of energy efficiency, oil price, environmental pressure, R&D investment, and policy on renewable energy -- evidence from the G20 countries," Energy, Elsevier, vol. 209(C).

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