Abstract

Global warming has caused concern among countries worldwide. Since 2010, the Chinese government has implemented low-carbon pilot policies (LCPPs) in some regions to control carbon emissions. To evaluate the implementation effects of the LCPPs, we matched China’s macro data with Chinese household financial survey data. Specifically, we used a OLS model for assessing the impact of LCPPs on China’s household carbon emissions and conducted heterogeneous analysis. Further, we evaluated the mechanism through which LCPPs affect the carbon emissions of Chinese households. The research results yielded three main findings. (1) LCPPs can promote a reduction in household carbon emissions; however, the impact of LCPPs on household carbon emissions exhibits a time lag. (2) LCPPs reduce household carbon emissions by promoting the upgradation of the household consumption structure. The LCPP enables households to reduce consumption of products involving high levels of carbon emissions, while increasing consumption of low-carbon emission products, thereby affecting total household carbon emissions. (3) An analysis of household heterogeneity revealed that LCPPs mainly affect household carbon emissions in the country’s eastern and central regions, especially urban households’ carbon emissions. This paper describes the implementation effects of LCPPs and suggests a viable path for the further implementation of LCPPs.

Highlights

  • Global warming has become a topic of general concern worldwide (Duan et al, 2019)

  • No control variables were incorporated into the evaluation of the impact of low-carbon pilot policies (LCPPs) on household carbon emissions shown in Column 1

  • The results show that the impact of LCPPs on household carbon emissions is negative, passing the 1% significance level test

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Summary

Introduction

Global warming has become a topic of general concern worldwide (Duan et al, 2019). Rapid urbanization in China has caused the country’s energy consumption to rise from 602 million tons of standard coal equivalent in 1980 to 4.86 billion tons in 2019. China’s carbon emissions reached 9.839 billion tons in 2019, accounting for 27.20% of global carbon emissions. The average annual growth rate of carbon emissions in China is 5.68%, with more than half of all emissions being caused by human activities (Edenhofer and Seyboth, 2013). With the rapid growth in Chinese residents’ income, the consumer goods sector has become the second-largest consumer of energy after the industrial sector, making it a significant source of carbon emissions (Tong and Zhou, 2020)

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