Departmental Bulletin Paper Target Responsibility System and CO2 Emissions Convergence: Mechanism and Empirical Test

Yongping, Sun

(E15-7) 2015-11 , 名古屋大学大学院経済学研究科附属国際経済政策研究センター
The Chinese government had already taken a string of policies and actions for CO2 abatement, the most important of which is the introduction of energy conservation and carbon abatement into the target responsibility system. First, this paper elaborates the influencing mechanism of target responsibility system for the convergence of CO2 emissions and considers that the bottom-up political system, investment impulse and the nature of CO2 abatement have major impacts on the convergence of China’s CO2 emissions. Second, using interprovincial panel data and following the grouping methods of eastern, central and western regions, this paper compares China’s CO2 emissions convergence between the 10th Five-year Plan period (2001-2005) and the 11th Five-year Plan period (2006-2010). Analysis indicates that the effect of energy conservation and CO2 abatement target tends to be subjected to GDP growth targets. Therefore, this paper considers that in the context of growing international pressures, China needs to take the absolute value of CO2 emissions decreasing into the target responsibility system.

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