Estimating the cost of carbon abatement for China

Atakelty Hailu and Chunbo Ma ()

Chapter 11 in New Directions in Productivity Measurement and Efficiency Analysis, 2017, pp 232-248 from Edward Elgar Publishing

Abstract: China is now the leading source of carbon emissions, and has become the subject of a growing number of studies attempting to estimate marginal carbon abatement costs using distance functions. Provincial-level data for China are used to estimate the functions using mathematical programming (deterministic frontier) and Bayesian methods (stochastic frontiers). Carbon abatement cost estimates are compared to values reported in the literature and to market prices for carbon. The Bayesian results are found to be lower and closer to observed market prices.

Keywords: Economics and Finance; Environment (search for similar items in EconPapers)
Date: 2017
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