China's inter-regional spillover of carbon emissions and domestic supply chains

Bo Meng, Xue Jinjun, Feng Kuishuang and Guan Dabao

No 367, IDE Discussion Papers from Institute of Developing Economies, Japan External Trade Organization(JETRO)

Abstract: In this study, we apply the inter-regional input–output model to explain the relationship between China’s inter-regional spillover of CO2 emissions and domestic supply chains for 2002 and 2007. Based on this model, we propose alternative indicators such as the trade in CO2 emissions, CO2 emissions in trade, regional trade balances, and comparative advantage of CO2 emissions. The empirical results not only reveal the nature and significance of inter-regional environmental spillover within China’s domestic regions but also demonstrate how CO2 emissions are created and distributed across regions via domestic production networks. The main finding shows that a region’s CO2 emissions depend on not only its intra-regional production technique, energy use efficiency but also its position and participation degree in domestic and global supply chains.

Keywords: China; Environmental problems; Trade in CO2 emissions; CO2 emissions in trade; Input–output; Supply chains; Embodied CO2 emissions; Chinese regional economies (search for similar items in EconPapers)
JEL-codes: C6 F18 F4 O18 Q21 (search for similar items in EconPapers)
Date: 2012-09-01
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Citations: View citations in EconPapers (11)

Published in IDE Discussion Paper = IDE Discussion Paper, No. 367. 2012-09-01

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Journal Article: China’s inter-regional spillover of carbon emissions and domestic supply chains (2013)
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