TY - JOUR
T1 - Energy Transition and Economic Development in China
T2 - A National and Sectorial Analysis from a New Structural Economics Perspectives
AU - Wang, Dong
AU - White, Ben
AU - Mugera, Amin
AU - Wang, Bei
N1 - Funding Information:
This research is funded by the University of Western Australia-China Scholarship. The Institute of New Structural Economics at Peking University also funds this research. We thank Ligang Song, Xunpeng Shi and Chunhua Wang for their valuable comments. We are incredibly grateful to the referees. All errors are ours.
Publisher Copyright:
© 2022 by the authors.
PY - 2022/12/12
Y1 - 2022/12/12
N2 - New Structural Economics (NSE) predicts that structural change in energy production would follow different patterns during different development stages and across different sectors. These variations require a range of policy responses. In this paper, we investigate this assertion by modeling China’s energy transition and economic development based on provincial panel data from 2000 to 2012. By using static models (Fama–MacBeth, OLS, fixed effect) and dynamic models (difference and system GMM), we find the relationship between low-carbon energy transition and economic development presents a U-shaped curve at the national level, but it is an inverted-U curve at the residential level. Furthermore, it is ambiguous in the agricultural sector and independent of economic development in the industry and service sectors. Institutional factors, natural resource endowment, environmental policy, and technological change influence China’s energy transition. Our findings supports NSE application in the Chinese energy economy and diversify energy transition policy by adjusting to the local conditions.
AB - New Structural Economics (NSE) predicts that structural change in energy production would follow different patterns during different development stages and across different sectors. These variations require a range of policy responses. In this paper, we investigate this assertion by modeling China’s energy transition and economic development based on provincial panel data from 2000 to 2012. By using static models (Fama–MacBeth, OLS, fixed effect) and dynamic models (difference and system GMM), we find the relationship between low-carbon energy transition and economic development presents a U-shaped curve at the national level, but it is an inverted-U curve at the residential level. Furthermore, it is ambiguous in the agricultural sector and independent of economic development in the industry and service sectors. Institutional factors, natural resource endowment, environmental policy, and technological change influence China’s energy transition. Our findings supports NSE application in the Chinese energy economy and diversify energy transition policy by adjusting to the local conditions.
KW - carbon lock-in
KW - economic development
KW - EKC
KW - energy ladder
KW - energy transition
KW - New Structural Economics
UR - http://www.scopus.com/inward/record.url?scp=85144905897&partnerID=8YFLogxK
U2 - 10.3390/su142416646
DO - 10.3390/su142416646
M3 - Article
AN - SCOPUS:85144905897
VL - 14
JO - Sustainability (Switzerland)
JF - Sustainability (Switzerland)
SN - 2071-1050
IS - 24
M1 - 16646
ER -
