Economic impacts and challenges of China’s petroleum industry: An input–output analysis

Tang Xu, Zhang Baosheng, Feng Lianyong, Marwan Masri and Afshin Honarvar

Energy, 2011, vol. 36, issue 5, 2905-2911

Abstract: It is generally acknowledged that the petroleum industry plays an important role in China’s national economic and social development. The direct, indirect, and induced impacts of China’s petroleum industry are analyzed in this study by using the Input–Output approach. The study also considers the main challenges that China’s economy might face in the future. The research results suggest the following: (1) The total economic impacts coefficients on output, given each unit of final demands change in extraction of petroleum and processing of petroleum, are 1.9180 and 3.2747 respectively, and the corresponding economic impacts coefficients on GDP are 1.0872 and 0.9001 respectively; (2) Extraction of petroleum has a more direct impact on GDP, while processing of petroleum has a greater effect on the total output; (3) Extraction of petroleum’s total economic impacts coefficients on both output and GDP have remained stable in recent years after a period of long decline; processing of petroleum’s total economic impacts coefficient on output is steadily increasing; (4) Import uncertainty, the likelihood of rising oil prices, and net oil exports caused by items manufactured with petroleum products (i.e. “Made in China” goods) are the main challenges the petroleum industry will cause for China’s overall economy.

Keywords: Petroleum industry; Economic impacts; Input–output analysis (search for similar items in EconPapers)
Date: 2011
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (17)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0360544211001113
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:energy:v:36:y:2011:i:5:p:2905-2911

DOI: 10.1016/j.energy.2011.02.033

Access Statistics for this article

Energy is currently edited by Henrik Lund and Mark J. Kaiser

More articles in Energy from Elsevier
Bibliographic data for series maintained by Catherine Liu ().