Abstract
Climate change has made countries around the world realize the importance of reducing carbon emissions. Reductions in carbon emissions needs the support of policy, technology, and financial capital. The single/double/three-threshold model is used here with data from China to study the different impact of financial development in carbon emissions in high-energy industries when the threshold variables are in different intervals. The results show that when loan size is the core explanatory variable, and research and development (R and D) expenditure and energy structure are the threshold variables, the loan size variable has a significant effect on emission reductions in high-energy industries, and this effect is strengthened with increases in R and D expenditure and decreases in the proportion of energy from coal. Taking energy intensity as the threshold variable, the relationship between loan size and carbon dioxide emissions is V-shaped. With economic structure as the threshold variable, loan size has a significant effect on emissions reduction when the proportion of industrial added value in high-energy industries is low. When using foreign investment as the core explanatory variable, R and D expenditure, energy consumption intensity, and industrial structure are threshold variables. The impact of foreign investment on carbon dioxide emissions is negative, but when the threshold variable is within different intervals, this negative impact differs. With stock market value as the core explanatory variable, and R and D expenditure and energy structure as the threshold variables, the stock market value can promote reductions in carbon emissions, but when R and D expenditure and the proportion of coal consumption is high, stock market value has no significant effect on emissions reduction. When energy consumption intensity is the threshold variable, the relationship between stock market value and carbon dioxide emissions is V-shaped.
Highlights
As the largest developing country, China has made continuous efforts to save energy and reduce emissions, and has been playing an increasingly important role in promoting environmental improvement
These results show that the impact of loan size on carbon dioxide emissions is significantly based on the threshold effect of technological progress, and the magnitude and direction of the impact of loan size on carbon dioxide emissions depends on the level of technological progress
According to the test results for the threshold value, in order to measure the impact of financial development on reduction in carbon emissions in high-energy industries, a single-threshold model is constructed with stock market value as the core explanatory variable, with R and D
Summary
As the largest developing country, China has made continuous efforts to save energy and reduce emissions, and has been playing an increasingly important role in promoting environmental improvement. In terms of energy consumption structure, is the Plan proposed that by 2020, the proportion of coal in energy consumption will be reduced to less than 58%, and the proportion of natural gas and non-fossil energy will be increased to 10% and 15%, respectively It aims to optimize the industrial structure by speeding up the development of service industries and strategic emerging industries, such that their proportion of added value to GDP will rise to 56% and 15%, respectively, by 2020, and by accelerating the development of green low-carbon industries, to make them the pillar industries of China’s economic development, with a total output of 100 billion yuan by 2020. It is necessary to conduct research on the impact of financial development on carbon emissions reduction in a specific industry, such as high-energy industries, which account for a large proportion of carbon dioxide emissions. Based on the perspective of technological progress, paper measures the impact of financial development on carbon emission reduction in high-energy industries from various financing modes, such as credit market, foreign direct investment, and stock market, and analyzes the different impacts of financial development on carbon emission reduction in high-energy industries at different stages
Sign-in/Register to view highlights & summary Sign-in/Register to access full text options 
Free) 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a call
