The Impact of Integrated Straw Utilization on Low‐Carbon Agricultural Development: Evidence From China

Sha Yu and Fulin Qi

Review of Development Economics, 2026, vol. 30, issue 1, 618-638

Abstract: In recent years, the real environmental and economic impacts of China's comprehensive straw burning ban and utilization policy, as well as its mitigating effect on climate change challenges, have often been questioned. For this reason, this paper investigates the impact of pilot straw comprehensive utilization (SCU) policy on carbon emission intensity using panel data of 285 Chinese cities from 2012 to 2020. The analysis adopts the difference‐in‐differences (DID) method. The results show that, guided by subsidies, the SCU pilot policy enhances total carbon intensity while decreasing the emission intensity of another greenhouse gas, CH4, through banning burning and promoting more efficient utilization. In particular, SCU mitigates carbon intensity partially by reducing mechanized inputs and effectively by expanding the scale of crop cultivation. In addition, the SCU pilot policy leads to higher carbon intensity in northern cities, cities with low total grain output, poor counties, and areas with low investment in agriculture, forestry, and water conservancy. Therefore, to prevent the policy from deviating from the goal of green and low‐carbon agricultural development and effectively respond to climate change challenges, the effectiveness of the policy should be reassessed, and more appropriate measures should be implemented in areas with weaker economic and social foundations.

Date: 2026
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