Decoupling of Emissions and GDP: Evidence from Aggregate and Provincial Chinese Data

We provide a comprehensive analysis of the relationship between greenhouse gas (GHG) emissions and GDP in China using both aggregate and provincial data. The Kuznets elasticity is about 0.6 for China, higher than that in advanced countries but below that of major emerging markets. The elasticity is...

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Bibliographic Details
Main Author: Cohen, Gail
Other Authors: Jalles, João Tovar, Loungani, Prakash, Marto, Ricardo
Format: eBook
Language:English
Published: Washington, D.C. International Monetary Fund 2018
Series:IMF Working Papers
Subjects:
Online Access:
Collection: International Monetary Fund - Collection details see MPG.ReNa
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245 0 0 |a Decoupling of Emissions and GDP: Evidence from Aggregate and Provincial Chinese Data  |c Gail Cohen, João Tovar Jalles, Prakash Loungani, Ricardo Marto, Gewei Wang 
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300 |a 26 pages 
651 4 |a China, People's Republic of 
653 |a Business cycles 
653 |a Environmental Conservation and Protection 
653 |a Income 
653 |a Environmental Economics 
653 |a Personal income 
653 |a Natural resources 
653 |a Climate 
653 |a Non-renewable resources 
653 |a Climate change 
653 |a Environmental management 
653 |a National accounts 
653 |a Personal Income, Wealth, and Their Distributions 
653 |a Greenhouse gas emissions 
653 |a Environment and Development 
653 |a Cycles 
653 |a Global Warming 
653 |a Environmental Equity 
653 |a Sustainability 
653 |a Environment and Growth 
653 |a Energy and the Macroeconomy 
653 |a Macroeconomics 
653 |a Prices, Business Fluctuations, and Cycles: General (includes Measurement and Data) 
653 |a Environment and Trade 
653 |a Greenhouse gases 
653 |a Climatic changes 
653 |a Population Growth 
653 |a Natural Disasters and Their Management 
653 |a Environmental Accounts and Accounting 
653 |a Environment 
653 |a Natural Resources 
653 |a Nonrenewable Resources and Conservation: General 
653 |a Economic growth 
653 |a Business Fluctuations 
700 1 |a Jalles, João Tovar 
700 1 |a Loungani, Prakash 
700 1 |a Marto, Ricardo 
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520 |a We provide a comprehensive analysis of the relationship between greenhouse gas (GHG) emissions and GDP in China using both aggregate and provincial data. The Kuznets elasticity is about 0.6 for China, higher than that in advanced countries but below that of major emerging markets. The elasticity is somewhat lower for consumption-based emissions than for production-based emissions, providing mild evidence consistent with the “pollution haven” hypothesis. The Kuznets elasticity is much lower for the last three decades than for the three previous decades, suggesting a longer-term trend toward decoupling as China has become richer. Further evidence of this comes from provincial data: richer provinces tend to have smaller Kuznets elasticities than poorer ones. In addition to the trend relationship, we find that the Environmental Okun's Law holds in China