Intermediate input linkage and carbon leakage.

Climate regulations tend to target energy-intensive sectors whose products are widely used in industrial production as intermediate inputs, and carbon abatement may be partially offset by intermediate input-led leakage. This paper aims to examine the impact of intermediate input linkages on carbon l...

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Publicado en:Environment & Development Economics Vol. 22; no. 6; pp. 725 - 747
Autores principales: Halkos, George, Managi, Shunsuke, Zhang, Zengkai, Zhang, Zhongxiang
Formato: Artículo
Publicado: Cambridge University Press Dec2017
Materias:
Acceso en línea:Ver este registro en EBSCOhost
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      dt: Dec2017
      vid: 22
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      pub: Cambridge University Press
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        126197006
        10.1017/S1355770X17000250
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        atl: Intermediate input linkage and carbon leakage.
      aug:
        au:
          Halkos, George
          Managi, Shunsuke
          Zhang, Zengkai
          Zhang, Zhongxiang
        affil:
          College of Management and Economics, Tianjin University, China.
          College of Management and Economics; and China Academy of Energy, Environmental and Industrial Economics, Tianjin University, 92 Weijin Road, Tianjin 300072, China.
      su:
        Industrial productivity
        Economic equilibrium
        Carbon & the environment
        Electric power production
        Input-output analysis
      sug:
        subj:
          Industrial productivity
          Economic equilibrium
          Fossil Fuel Electric Power Generation
          Carbon & the environment
          Electric power production
          Input-output analysis
      ab: Climate regulations tend to target energy-intensive sectors whose products are widely used in industrial production as intermediate inputs, and carbon abatement may be partially offset by intermediate input-led leakage. This paper aims to examine the impact of intermediate input linkages on carbon leakage both theoretically and empirically. The theoretical part develops a Harberger-type model with an input-output linkage structure, identifies four leakage effects and derives closed-form solutions for these leakage effects. Its empirical part builds a computable general equilibrium model of China's economy and introduces structural decomposition analysis to link the theoretical and empirical models. When imposing a carbon price on the electricity generation sector, our results show significant sectoral carbon leakage. Our decomposition analysis further suggests that such leakage is mainly through the production substitution effect and the multiplier effect. Our results highlight the importance of sectoral linkage when discussing the carbon leakage issue of climate policies.
      pubtype: Academic Journal
      doctype: Article
      src: R
    language: English
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