Analysis of the Spatial Effect of Carbon Emissions on Chinese Economic Resilience in the Context of Sustainability

Abstract

This paper focuses on the impact of carbon intensity on economic resilience in the context of the low-carbon development model and the promotion of sustainable development. Based on the provincial panel data from 2010 to 2021, this paper establishes a spatial econometric model to assess the impact of carbon intensity on economic resilience and applies the DID model to explore the impact of carbon emissions trading policies on economic resilience. It is found that carbon intensity suppresses the economic resilience of the local and associated regions. We also found through our research that carbon intensity can affect economic resilience through industrialization improvement and intensified pollution. In this situation, environmental regulatory policies are necessary to ensure sustainable development. The study found that the carbon emissions trading pilot policy could promote the input intensity in science and technology and technological manpower investments in the region, thus increasing the economic resilience. Moreover, the carbon emissions trading pilot policy is conducive to the economic resilience of neighboring regions. Based on the above research results, this paper proposes policy recommendations from three aspects: further promoting the upgrade of industrial structure and reducing carbon intensity; building a clean and low-carbon energy system to effectively reduce carbon and pollution emissions; and further improving the supporting measures for technological innovation to promote the economic resilience of developing countries and achieve sustainable development.