Author ORCID Identifier

Jinlan Ni

Document Type

Article

Publication Date

9-2015

Publication Title

Energy Economics

Volume

51

First Page

609

Last Page

621

Abstract

China's economic reform over the past 30 years has allowed the free market to drive economic development. However, government still plays a key role in the energy sector by allocating energy conservation and emissions abatement. How does the government make an equity decision as a tradeoff to market efficiency? This is an unanswered question. The purpose of this paper is to illustrate the government's preference toward equity and efficiency. Using the provincial level CO2 intensity allocation data, we investigate the political decision that the government made based on the equity and efficiency criteria. We find that the equity index plays a more important role than the efficiency index in determining the CO2 intensity target. In addition, political factors such as social stability are found to be important factors.

Comments

The final, published version can be found here: https://doi.org/10.1016/j.eneco.2015.08.027

Creative Commons License

Creative Commons Attribution-Noncommercial-No Derivative Works 4.0 License
This work is licensed under a Creative Commons Attribution-Noncommercial-No Derivative Works 4.0 License.

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