Balancing Climate Change and Economic Development: the Case of China

Fan Lin and Danyang Xie

MPRA Paper from University Library of Munich, Germany

Abstract: We analyze China's economic growth and climate change relationship using a dynamic equilibrium model with regional disparity. Our simulation findings suggest that without intervention, China's temperatures could rise to 4.7◦C and 3.4◦C in advanced and backward regions, respectively, by mid-next century. A social planner path could limit this rise to 3.3◦C across both regions, yielding welfare benefits. However, if China adheres to the Paris Agreement's 2◦C limit without exceptional low-carbon technology advancements, significant social welfare losses could occur.

Keywords: Economic Development; Climate Change; China (search for similar items in EconPapers)
JEL-codes: E27 E61 Q54 (search for similar items in EconPapers)
Date: 2023
New Economics Papers: this item is included in nep-cna, nep-ene, nep-env and nep-gro
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://mpra.ub.uni-muenchen.de/119970/1/MPRA_paper_119970.pdf original version (application/pdf)

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:pra:mprapa:119970

Access Statistics for this paper

More papers in MPRA Paper from University Library of Munich, Germany Ludwigstraße 33, D-80539 Munich, Germany. Contact information at EDIRC.
Bibliographic data for series maintained by Joachim Winter ().