EconPapers    
Economics at your fingertips  
 

EXPLORING THE IMPACTS OF CARBON MARKET LINKAGE ON SECTORAL COMPETITIVENESS: A CASE STUDY OF BEIJING–TIANJIN–HEBEI REGION BASED ON THE CEECPA MODEL

Feng Wang, Beibei Liu and Bing Zhang ()
Additional contact information
Feng Wang: Business School, Nanjing University of Information Science & Technology, Nanjing 210044, P. R. China†Development Institute of Jiangbei New Area, Nanjing University of Information Science & Technology, Nanjing 210044, P. R. China
Beibei Liu: #x2021;State Key Laboratory of Pollution Control & Resource Reuse, School of Environment Nanjing University, Nanjing 210023, P. R. China§The Johns Hopkins University-Nanjing, University Center for Chinese and American Studies, Nanjing 210093, P. R. China

Climate Change Economics (CCE), 2020, vol. 11, issue 03, 1-24

Abstract: Emission trading could increase the production cost of sectors, and thus has significant impacts on sectoral competitiveness. This study takes the Beijing–Tianjin–Hebei (BTH) region as an example to explore the impacts of different carbon market linkage scenarios on regional sectoral competitiveness by using the CEECPA model, a static multi-region and multi-sector Computable General Equilibrium (CGE) model in China. Results show that carbon market linkage can mitigate the adverse impacts of emission trading on regional sectoral competitiveness across the BTH region. However, carbon market linkage may lead to the imbalances of regional sectoral competitiveness. In particular, energy production and energy-intensive sectors in Hebei would experience higher sectoral competitive losses under the restricted linkage scenario. Revenue recycling can effectively reduce sectoral competitive losses from carbon market linkage. Especially, using revenues to deduct indirect tax can make the sectoral competitive losses in Hebei significantly decrease. Policy implications are proposed to facilitate emission mitigation and balanced industrial development in China.

Keywords: Carbon market linkage; sectoral competitiveness; CEEPCA model; revenues recycling (search for similar items in EconPapers)
Date: 2020
References: Add references at CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
http://www.worldscientific.com/doi/abs/10.1142/S2010007820410055
Access to full text is restricted to subscribers

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:wsi:ccexxx:v:11:y:2020:i:03:n:s2010007820410055

Ordering information: This journal article can be ordered from

DOI: 10.1142/S2010007820410055

Access Statistics for this article

Climate Change Economics (CCE) is currently edited by Robert Mendelsohn

More articles in Climate Change Economics (CCE) from World Scientific Publishing Co. Pte. Ltd.
Bibliographic data for series maintained by Tai Tone Lim ().

 
Page updated 2021-12-14
Handle: RePEc:wsi:ccexxx:v:11:y:2020:i:03:n:s2010007820410055