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China's inter-regional spillover of carbon emissions and domestic supply chains


  • Meng, Bo
  • Xue, Jinjun
  • Feng, Kuishuang
  • Guan, Dabao


In this study, we apply the inter-regional input–output model to explain the relationship between China’s inter-regional spillover of CO2 emissions and domestic supply chains for 2002 and 2007. Based on this model, we propose alternative indicators such as the trade in CO2 emissions, CO2 emissions in trade, regional trade balances, and comparative advantage of CO2 emissions. The empirical results not only reveal the nature and significance of inter-regional environmental spillover within China’s domestic regions but also demonstrate how CO2 emissions are created and distributed across regions via domestic production networks. The main finding shows that a region’s CO2 emissions depend on not only its intra-regional production technique, energy use efficiency but also its position and participation degree in domestic and global supply chains.

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  • Meng, Bo & Xue, Jinjun & Feng, Kuishuang & Guan, Dabao, 2012. "China's inter-regional spillover of carbon emissions and domestic supply chains," IDE Discussion Papers 367, Institute of Developing Economies, Japan External Trade Organization(JETRO).
  • Handle: RePEc:jet:dpaper:dpaper367

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    References listed on IDEAS

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    More about this item


    China; Environmental problems; Trade in CO2 emissions; CO2 emissions in trade; Input–output; Supply chains; Embodied CO2 emissions; Chinese regional economies;

    JEL classification:

    • C6 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling
    • F18 - International Economics - - Trade - - - Trade and Environment
    • F4 - International Economics - - Macroeconomic Aspects of International Trade and Finance
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • Q21 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Demand and Supply; Prices


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