Advances in Economics, Management and Political Sciences

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Proceedings of the 2nd International Conference on Business and Policy Studies

Series Vol. 13 , 13 September 2023


Open Access | Article

Why Did China Design Its Emission Trading System Different than the EU?

Longhao Xu * 1 , Minghao Zhang 2
1 Shekou International School
2 Jinan Foreign Language School International Center

* Author to whom correspondence should be addressed.

Advances in Economics, Management and Political Sciences, Vol. 13, 76-81
Published 13 September 2023. © 2023 The Author(s). Published by EWA Publishing
This article is an open access article distributed under the terms and conditions of the Creative Commons Attribution (CC BY) license, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
Citation Longhao Xu, Minghao Zhang. Why Did China Design Its Emission Trading System Different than the EU?. AEMPS (2023) Vol. 13: 76-81. DOI: 10.54254/2754-1169/13/20230674.

Abstract

Emission trading systems (ETS) contribute to economic efficiency by facilitating emission reductions where it is cheapest to achieve them. Polluters who would find it costly to reduce their emissions can buy emission allowances from polluters that can abate at lower costs. Through the comparison between the carbon trading market of the EU and China and an overview of each market, including key strategies and market performance, the reasons why China's designed its carbon trading market most suitable for its economy, along with the edges and costs of each market will be analyzed. This study indicates that China's current ETS design is beneficial for its current economic development; however, this design limits technological developments in renewable energy and transformations in economic structure. This will impact China's economic development in the future.

Keywords

the comparison between the EU and China's carbon trading market

References

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Data Availability

The datasets used and/or analyzed during the current study will be available from the authors upon reasonable request.

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Volume Title
Proceedings of the 2nd International Conference on Business and Policy Studies
ISBN (Print)
978-1-915371-69-0
ISBN (Online)
978-1-915371-70-6
Published Date
13 September 2023
Series
Advances in Economics, Management and Political Sciences
ISSN (Print)
2754-1169
ISSN (Online)
2754-1177
DOI
10.54254/2754-1169/13/20230674
Copyright
© 2023 The Author(s)
Open Access
This article is an open access article distributed under the terms and conditions of the Creative Commons Attribution (CC BY) license, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited

Copyright © 2023 EWA Publishing. Unless Otherwise Stated