How to achieve a win-win situation between economic growth and carbon emission reduction: empirical evidence from the perspective of industrial structure upgrading

Dong, Biying; Xu, Yingzhi; Fan, Xiaomin

doi:10.1007/s11356-020-09883-x

Research Article
Published: 01 August 2020

How to achieve a win-win situation between economic growth and carbon emission reduction: empirical evidence from the perspective of industrial structure upgrading

Environmental Science and Pollution Research volume 27, pages 43829–43844 (2020)Cite this article

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Abstract

Over the past 40 years since China’s reform and opening up, the industrial structure has undergone tremendous changes. The rapid development of the economy has been accompanied by a surge in carbon emissions. How to achieve a win-win situation for economic growth and carbon emissions reduction has aroused widespread concern from all sectors of society. Here, this paper discusses the dynamic relationship of industrial structure upgrading, economic growth, and carbon emission reduction. Results show that there is a long-term equilibrium relationship among industrial structure upgrading, economic growth, and carbon emissions. In the short term, when the three variables deviate from the long-term equilibrium state, the non-equilibrium state will be pulled back to equilibrium with the adjustment strength of − 0.0633, − 0.0097, and 0.0013. Carbon emission reduction promotes industrial structure upgrading. Industrial structure upgrading has a greater positive impact on economic growth. Industrial structure upgrading and economic growth have a negative impact on carbon emissions, thereby promoting emission reduction. And at the 10% significance level, there is a one-way Granger causality from carbon emissions to industrial structure upgrading, economic growth can cause one-way changes in carbon emissions, and industrial structure upgrading is a one-way Granger cause of economic growth. Finally, several carbon emission reduction policies are proposed promote industrial restructuring and sustainable economic development.

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Acknowledgments

The authors gratefully acknowledge the financial support from the Key Project of National Social Science Fund of China (Grant No. 19AJY011) and the Key Project of Jiangsu’s Social Science Fund (Grant No. 19CJS010).

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School of Economics and Management, Southeast University, Jingguan Building, Dongnandaxue Road 2, Jiangning District, Nanjing, 211189, China
Biying Dong, Yingzhi Xu & Xiaomin Fan

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Biying Dong
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Yingzhi Xu
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Xiaomin Fan
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Correspondence to Yingzhi Xu.

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Dong, B., Xu, Y. & Fan, X. How to achieve a win-win situation between economic growth and carbon emission reduction: empirical evidence from the perspective of industrial structure upgrading. Environ Sci Pollut Res 27, 43829–43844 (2020). https://doi.org/10.1007/s11356-020-09883-x

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Received: 26 April 2020
Accepted: 23 June 2020
Published: 01 August 2020
Issue Date: December 2020
DOI: https://doi.org/10.1007/s11356-020-09883-x

Keywords

Industrial structure upgrading
Economic growth
Carbon emission reduction
Win-win
China