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Carbon Emission Allocation in a Chinese Province-Level Region Based on Two-Stage Network Structures

Xi Jin (), Bin Zou (), Chan Wang (), Kaifeng Rao () and Xiaowen Tang ()
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Xi Jin: Faculty of Mathematics and Statistics, Hubei University, Wuhan 430062, China
Bin Zou: Faculty of Mathematics and Statistics, Hubei University, Wuhan 430062, China
Chan Wang: Faculty of Mathematics and Statistics, Hubei University, Wuhan 430062, China
Kaifeng Rao: Research Center for Eco-Environment Sciences Chinese Academy of Sciences, Beijing 100085, China
Xiaowen Tang: School of Economics and Management, Beijing University of Technology, Beijing 100000, China

Sustainability, 2019, vol. 11, issue 5, 1-24

Abstract: With the increasingly severe global environment and climate change, the growing social attention toward the environmental problems has prompted local governments to make policy adjustments. The formulation of the carbon emission right allocation scheme is important for policy-makers. Many researchers have studied the problem of carbon emission right allocation by using data envelopment analysis (DEA) models. However, the existing literature using traditional models consider each Decision-Making Unit (DMU) as a “black box” without taking the internal structure into account, but in fact, it is more accurate for formulating the scheme when considering the inner operation of DMUs. This paper investigates the allocation plan of carbon emission right among each province in China from 2007–2016 based on a two-stage DEA model. The results indicate that, first, there is no space for carbon emission in the north, northeast, and northwest from 2007–2016, while in the southern regions, it always exists. In addition, the carbon emission permits of the southern and eastern regions are increasing, but in the southwestern regions, the carbon emission space barely fluctuated during this decade. Second, the potential of carbon emission reduction of each region tends to be stable after 2014, and in the north and northwest, it fluctuated greatly from 2007–2016. Besides, the northwest region has had the potential of emission reduction since 2010, while it also exists in the northern region after 2014.

Keywords: data envelopment analysis; carbon emission allocation; two-stage network (search for similar items in EconPapers)
JEL-codes: Q Q0 Q2 Q3 Q5 Q56 O13 (search for similar items in EconPapers)
Date: 2019
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