Will Tax Burden Be a Stumbling Block to Carbon-Emission Reduction? Evidence from OECD Countries

Abstract The influence of taxation on the economy and society is everywhere. Given the fact that CO2 emission is closely connected with human activities, the question naturally arises whether the tax burden affects the carbon emissions. To address this issue, based on the data of 21 OECD countries over the period from 1991–2014, we use the ratio of tax revenue to GDP as a proxy of the tax burden and employ a panel quantile model with the non-additive fixed effects for analysis. The results suggest that the impact of the tax burden on carbon emissions is heterogeneous across countries based on the level of carbon emissions. Moreover, we find a stable U-shaped relationship between the tax burden and carbon emissions whether for countries with a high or low level of carbon emissions. Our findings suggest that moderate taxes could help reduce carbon emissions, but the effect of excessive taxation is the opposite.

Download Full-text

Optimizing Urban Distribution Routes for Perishable Foods Considering Carbon Emission Reduction

Sustainability ◽

10.3390/su11164387 ◽

2019 ◽

Vol 11 (16) ◽

pp. 4387 ◽

Cited By ~ 2

Author(s):

Lin ◽

Zhang ◽

Wang ◽

Yang ◽

Shi ◽

...

Keyword(s):

Carbon Emissions ◽

Emission Reduction ◽

Carbon Emission ◽

Carbon Tax ◽

Search Algorithm ◽

Urban Traffic ◽

Low Carbon ◽

Carbon Emission Reduction ◽

Urban Distribution ◽

The Impact

The increasing demand for urban distribution increases the number of transportation vehicles which intensifies the congestion of urban traffic and leads to a lot of carbon emissions. This paper focuses on carbon emission reduction in urban distribution, taking perishable foods as the object. It carries out optimization analysis of urban distribution routes to explore the impact of low carbon policy on urban distribution routes planning. On the basis of analysis of the cost components and corresponding constraints of urban distribution, two optimization models of urban distribution routes with and without carbon emissions cost are constructed. Fuel quantity related to cost and carbon emissions in the model is calculated based on traffic speed, vehicle fuel quantity and passable time period of distribution. Then an improved algorithm which combines genetic algorithm and tabu search algorithm is designed to solve models. Moreover, an analysis of the influence of carbon tax price is also carried out. It is concluded that in the process of urban distribution based on the actual network information, path optimization considering the low carbon factor can effectively reduce the distribution process of CO2, and reduce the total cost of the enterprise and society, thus achieving greater social benefits at a lower cost. In addition, the government can encourage low-carbon distribution by rationally adjusting the price of carbon tax to achieve a higher social benefit.

Download Full-text

Can Green Finance Development Reduce Carbon Emissions? Empirical Evidence from 30 Chinese Provinces

Sustainability ◽

10.3390/su132112137 ◽

2021 ◽

Vol 13 (21) ◽

pp. 12137

Author(s):

Xi Chen ◽

Zhigang Chen

Keyword(s):

Carbon Emissions ◽

Emission Reduction ◽

Carbon Emission ◽

Economic Transformation ◽

Green Technology ◽

Financing Constraints ◽

Carbon Emission Reduction ◽

Dynamic Panel Model ◽

Green Finance ◽

The Impact

Dealing with the relationship between environment and economic development is the core issue of China’s sustainable development. At present, China’s economic transformation is urgent, and green finance is being widely concerned. This paper measured the development level of China’s green finance from the perspective of green credit, green securities, green investment, and green insurance. Then, it used a spatial dynamic panel model to empirically test the mechanism of the impact of green finance on carbon emissions with panel data of 30 Chinese provinces from 2005 to 2018. The following can be seen from the results: (1) The development of green finance contributes to carbon emission reduction. (2) The spatial spillover effect of green finance is significant. Specifically, the development of green finance can not only reduce the carbon emissions of the local region but also inhibit that of adjacent areas. (3) The development of green finance indirectly leads to a decrease in carbon emissions by reducing financing constraints and boosting green technology innovation. In order to stimulate the carbon emission reduction effect of green finance to a greater extent, we should further support the development of green finance, reduce the financing constraints of energy-saving and environmental-protection enterprises, and encourage the research and development of green innovative technologies.

Download Full-text

The Impact and Influencing Path of the Pilot Carbon Emission Trading market——Evidence From China

Frontiers in Environmental Science ◽

10.3389/fenvs.2021.787655 ◽

2021 ◽

Vol 9 ◽

Author(s):

Wangzi Xu

Keyword(s):

Carbon Emissions ◽

Emission Reduction ◽

Carbon Emission ◽

Emission Trading ◽

Carbon Market ◽

Carbon Trading ◽

Carbon Emission Reduction ◽

The World ◽

Carbon Emission Trading ◽

The Impact

As the country with the largest CO2 emissions in the world, the Chinese government has put forward clear goals of hitting peak carbon emissions by 2030 and carbon neutralization by 2060. Thus, China started piloting carbon emission trading in 2013, and in July 2021 China opened national carbon trading, which is the largest carbon market in the world (China Launches World, 2021). Therefore, it is very important for China to study the role and mechanism of carbon trading at present. Based on the quasi-natural experiment of China’s carbon market pilot, this paper uses panel data of 30 provinces in mainland China from 2008 to 2019 to conduct an empirical study on carbon emission reduction and the economic effects in China’s pilot provinces through a Time-varying Differences-in-Differences method model. The results show that the implementation of a carbon trading policy can significantly inhibit carbon emissions and promote economic growth. At the same time, this paper further analyzes the emission reduction mechanism of the carbon emissions trading policy through the intermediary effect test and finds that the policy mainly realizes carbon emission reduction by changing the energy consumption structure, promoting low-carbon innovation, and upgrading the industrial structure. In addition, innovative research has found the impact of a carbon price signal and marketization on the emission reduction effect of the carbon market. Finally, targeted suggestions are put forward.

Download Full-text

The Study of the Impact of Carbon Finance Effect on Carbon Emissions in Beijing-Tianjin-Hebei Region—Based on Logarithmic Mean Divisia Index Decomposition Analysis

Sustainability ◽

10.3390/su11051465 ◽

2019 ◽

Vol 11 (5) ◽

pp. 1465 ◽

Cited By ~ 4

Author(s):

Li Li ◽

Di Liu ◽

Jian Hou ◽

Dandan Xu ◽

Wenbo Chao

Keyword(s):

Global Warming ◽

Carbon Emissions ◽

Emission Reduction ◽

Carbon Emission ◽

Total Carbon ◽

Carbon Trading ◽

Logarithmic Mean ◽

Carbon Emission Reduction ◽

Carbon Finance ◽

The Impact

The negative effects of global warming are becoming more and more serious. The fundamental way to prevent global warming is by reducing carbon dioxide emissions. Achieving this has become a key concern for all countries. The logarithmic mean divisia index model was constructed to decompose the total carbon emission increment. Carbon finance effect was divided into green credit effect and carbon trading effect to analyze the impact of carbon finance on carbon emissions. The results showed that the total carbon emission reduction value caused by green credit effect from 2010 to 2016 in the Beijing-Tianjin-Hebei region was 66193.96 million tons, and the added value of carbon emission caused by carbon trading effect was 80266.68 million tons. There are regional differences in the effects of carbon finance on carbon emissions in these regions. It can be concluded that to a certain extent, green credit can reduce carbon emissions, and carbon trading can increase carbon emissions. Using the gradual expansion of carbon finance trading and market mechanism of carbon finance to solve the problem of carbon emission can improve the efficiency of carbon emission reduction.

Download Full-text

Carbon Emission Estimation of Assembled Composite Concrete Beams during Construction

Energies ◽

10.3390/en14071810 ◽

2021 ◽

Vol 14 (7) ◽

pp. 1810

Author(s):

Kaitong Xu ◽

Haibo Kang ◽

Wei Wang ◽

Ping Jiang ◽

Na Li

Keyword(s):

Life Cycle ◽

Carbon Emissions ◽

Emission Reduction ◽

Carbon Emission ◽

Composite Beams ◽

Total Carbon ◽

Construction Process ◽

Low Carbon ◽

Carbon Emission Reduction ◽

The Government

At present, the issue of carbon emissions from buildings has become a hot topic, and carbon emission reduction is also becoming a political and economic contest for countries. As a result, the government and researchers have gradually begun to attach great importance to the industrialization of low-carbon and energy-saving buildings. The rise of prefabricated buildings has promoted a major transformation of the construction methods in the construction industry, which is conducive to reducing the consumption of resources and energy, and of great significance in promoting the low-carbon emission reduction of industrial buildings. This article mainly studies the calculation model for carbon emissions of the three-stage life cycle of component production, logistics transportation, and on-site installation in the whole construction process of composite beams for prefabricated buildings. The construction of CG-2 composite beams in Fujian province, China, was taken as the example. Based on the life cycle assessment method, carbon emissions from the actual construction process of composite beams were evaluated, and that generated by the composite beam components during the transportation stage by using diesel, gasoline, and electric energy consumption methods were compared in detail. The results show that (1) the carbon emissions generated by composite beams during the production stage were relatively high, accounting for 80.8% of the total carbon emissions, while during the transport stage and installation stage, they only accounted for 7.6% and 11.6%, respectively; and (2) during the transportation stage with three different energy-consuming trucks, the carbon emissions from diesel fuel trucks were higher, reaching 186.05 kg, followed by gasoline trucks, which generated about 115.68 kg; electric trucks produced the lowest, only 12.24 kg.

Download Full-text

Incentive Contract Design considering Fairness Preferences and Carbon Emission Reduction Multiobjective Tasks

Mathematical Problems in Engineering ◽

10.1155/2021/6541682 ◽

2021 ◽

Vol 2021 ◽

pp. 1-11

Author(s):

Zhipeng Li ◽

Shuzhen Zhu ◽

Xinyu Cao

Keyword(s):

Discount Rate ◽

Emission Reduction ◽

Carbon Emission ◽

Correlation Coefficients ◽

Carbon Emission Reduction ◽

Incentive Model ◽

Incentive Strategies ◽

The Government ◽

The Impact

Considering the multitargets of corporate carbon emission reduction and the fairness preference psychology of the company, a government incentive model for corporate carbon emission reduction was constructed. The impact of corporate fairness preferences on government carbon emission reduction incentive strategies is studied. In addition, numerical simulation is used to analyze the impact of changes in correlation coefficients, fairness preference coefficients, and discount rates on the optimal enterprise effort coefficient and the government optimal incentive coefficient. Research shows that the degree of fairness preference of a company has a direct impact on the degree of corporate effort, while the discount rate will only have an impact on the company’s long-term effort. In order to improve corporate carbon emission reduction efforts, the government must not only consider the impact of fairness preference on corporate efforts but also flexibly adjust the incentive coefficient of long-term and short-term tasks based on the discount rate.

Download Full-text

Optimal Decisions for Two Risk-Averse Competitive Manufacturers under the Cap-and-Trade Policy and Uncertain Demand

International Journal of Environmental Research and Public Health ◽

10.3390/ijerph17031010 ◽

2020 ◽

Vol 17 (3) ◽

pp. 1010 ◽

Cited By ~ 1

Author(s):

Hongxia Sun ◽

Jie Yang ◽

Yang Zhong

Keyword(s):

Decision Making ◽

Carbon Emissions ◽

Emission Reduction ◽

Carbon Emission ◽

Reduction Rate ◽

Risk Averse ◽

Cap And Trade ◽

Carbon Emission Reduction ◽

Optimal Decisions ◽

The Government

With the increasingly serious problem of environmental pollution, reducing carbon emissions has become an urgent task for all countries. The cap-and-trade (C&T) policy has gained international recognition and has been adopted by several countries. In this paper, considering the uncertainty of market demand, we discuss the carbon emission reduction and price policies of two risk-averse competitive manufacturers under the C&T policy. The two manufacturers have two competitive behaviors: simultaneous decision making and sequential decision making. Two models were constructed for these behaviors. The optimal decisions, carbon emission reduction rate, and price were obtained from these two models. Furthermore, in this paper the effects of some key parameters on the optimal decision are discussed, and some managerial insights are obtained. The results show that the lower the manufacturers’ risk aversion level is, the higher their carbon emission reduction rate and utilities. As the carbon quota increases, the manufacturers’ optimal carbon reduction rate and utilities increase. Considering consumers’ environmental awareness, it is more beneficial for the government to reduce the carbon quota and motivate manufacturers’ internal enthusiasm for emission reduction. The government can, through macro control of the market, make carbon trading prices increase appropriately and encourage manufacturers to reduce carbon emissions.

Download Full-text

The impact of price and revenue floors on carbon emission reduction investment by coal-fired power plants

Technological Forecasting and Social Change ◽

10.1016/j.techfore.2020.119961 ◽

2020 ◽

Vol 154 ◽

pp. 119961 ◽

Cited By ~ 5

Author(s):

Xinhua Zhang ◽

Dongmei Gan ◽

Yali Wang ◽

Yu Liu ◽

Jiali Ge ◽

...

Keyword(s):

Emission Reduction ◽

Power Plants ◽

Carbon Emission ◽

Carbon Emission Reduction ◽

The Impact

Download Full-text

Multi-Perspective Influence Mechanism Analysis and Multi-Scenario Prediction of Carbon Emissions——A Case of the Yangtze River Delta, China

E3S Web of Conferences ◽

10.1051/e3sconf/201911804014 ◽

2019 ◽

Vol 118 ◽

pp. 04014

Author(s):

Tao Yi ◽

Mohan Qiu ◽

Zhengang Zhang ◽

Song Mu ◽

Yu Tian

Keyword(s):

Carbon Emissions ◽

Emission Reduction ◽

Yangtze River ◽

Carbon Emission ◽

Yangtze River Delta ◽

Mechanism Analysis ◽

The Yangtze River ◽

Carbon Emission Reduction ◽

Influence Mechanism ◽

The Yangtze River Delta

Under the mandatory push of meeting carbon emission reduction commitments proposed in the Paris Agreement, the analysis on the peaking time of China’s carbon emissions deserves enough attention. This paper focuses on the peaking times of total carbon emissions (TCE) and carbon emission intensity (CEI) in the Yangtze River Delta (YRD). According to the development of carbon emissions in YRD and related targets in the 13th Five-Year Plan, the peaking times of TCE and CEI in different scenarios are predicted based on the influence mechanism analysis of carbon emissions in YRD from the perspective of energy, economy and society. Considering the development characteristics of China at this stage, this paper introduces several new indicators such as full-time equivalent of research and development (R&D) personnel and investment in environmental pollution control. Based on the study results, several policy recommendations are put forward to fulfil China’s carbon emission reduction commitments.

Download Full-text

Carbon Emission Reduction Strategy for Energy Users in China

Sustainability ◽

10.3390/su12166498 ◽

2020 ◽

Vol 12 (16) ◽

pp. 6498 ◽

Cited By ~ 1

Author(s):

Fuquan Zhao ◽

Feiqi Liu ◽

Han Hao ◽

Zongwei Liu

Keyword(s):

Renewable Energy ◽

Carbon Emissions ◽

Emission Reduction ◽

Carbon Emission ◽

Current Status ◽

Chinese Government ◽

Carbon Trading ◽

Levelized Cost Of Electricity ◽

Carbon Emission Reduction ◽

The Cost

The Chinese government has made a commitment to control carbon emissions, and the deployment of renewable energy power generation is considered as an effective solution. In recent years, great effort has been exerted to support the development of renewable energy in China. While, due to fiscal pressures and changes in management policies, related subsidies are diminishing now and energy users are asked to pay for the cost. Regulations about carbon cap and renewable energy consumptions are issued to transfer the responsibility of consuming renewable energy and reducing carbon emissions to energy consumers. A national carbon trading system is set up in China and is under its growth stage. Therefore, this study lists the factors that should be considered by the energy users, analyzes the levelized cost of electricity generated by renewable energy in four cities in China, Beijing, Shanghai, Guangzhou, Wuhan, and compares the results with current carbon prices. Based on the research, under the current status, it is still more cost-efficient for enterprises to buy carbon credits than introduce renewable energies, and great differences among cities are shown due to different natural conditions. Besides, with diminishing subsidies and development of the carbon trading market, the carbon price will gradually reflect the actual value and carbon emission reduction costs will become an important part of enterprise expenditure. In the long term, enterprises should link more factors to carbon emissions, like social responsibility and brand image, instead of only the cost.

Download Full-text