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Analysis Of Low-Carbon Production Chains Towards China'Sco2emission Reduction Targets For 2020

Author

Listed:
  • YAN XIA

    (Center for Energy and Environmental Policy Research, Institute of Policy and Management, Chinese Academy of Sciences, No. 55 Zhongguancun Dong Lu, Beijing 100190, P. R. China)

  • YING FAN

    (Center for Energy and Environmental Policy Research, Institute of Policy and Management, Chinese Academy of Sciences, No. 55 Zhongguancun Dong Lu, Beijing 100190, P. R. China)

  • JIE WU

    (Center for Energy and Environmental Policy Research, Institute of Policy and Management, Chinese Academy of Sciences, No. 55 Zhongguancun Dong Lu, Beijing 100190, P. R. China)

Abstract

Achieving China's carbon reduction targets for 2020 necessitates the consideration of integrated production chains (PCs) given that competition between sectors has been transformed into competition between PCs. This paper establishes an extended input–output (IO) model that calculates the cost multiplier transmission effect of emission reduction in low-carbon production chains (LCPCs). Empirical results show that in relation to PCs, the electricity power industry and urban residents are the key policy points in adjusting China's industrial structure. This paper suggests that policymakers consider the cost multiplier transmission effect imposed by upstream sectors to downstream industries.

Suggested Citation

  • Yan Xia & Ying Fan & Jie Wu, 2013. "Analysis Of Low-Carbon Production Chains Towards China'Sco2emission Reduction Targets For 2020," The Singapore Economic Review (SER), World Scientific Publishing Co. Pte. Ltd., vol. 58(03), pages 1-18.
  • Handle: RePEc:wsi:serxxx:v:58:y:2013:i:03:n:s0217590813500215
    DOI: 10.1142/S0217590813500215
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    References listed on IDEAS

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    1. Robert B. Barsky & Lutz Kilian, 2004. "Oil and the Macroeconomy Since the 1970s," Journal of Economic Perspectives, American Economic Association, vol. 18(4), pages 115-134, Fall.
    2. Michael Bruno & Jeffrey Sachs, 1979. "Macro-Economic Adjustment With Import Price Shocks: Real and Monetary Aspects," NBER Working Papers 0340, National Bureau of Economic Research, Inc.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Carbon reduction target; production chains (PCs); price-multiplier model; extended input–output model; low carbon production chains; Q43; Q41; Q48; O13; O53; P22; E31;
    All these keywords.

    JEL classification:

    • Q43 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Energy and the Macroeconomy
    • Q41 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Demand and Supply; Prices
    • Q48 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Government Policy
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • O53 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East
    • P22 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies - - - Prices
    • E31 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Price Level; Inflation; Deflation

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