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The future of the Environmental Services Industry in China

Assessing Economic Impacts of China's Water Pollution Mitigation Measures through a

  • December 2011
  • 16 pages

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  • Segment Coverage

    Environmental Serv...  

  • Geographic Coverage

    China  

  • Type of data

    Forecast  

    Economic Indicator...  

  • Assessing economic impacts of China's water pollution mitigation measures
  • through a 1
  • dynamic computable general equilibrium analysis 1
  • 1. Introduction 2
  • 2. Dataset and methodology 3
  • 2.1. Description of the model 3
  • 2.2. Dataset: environmental social accounting matrix 4
  • 2007 (MEP 6
  • Annual Statistical 6
  • Bulletin 6
  • Report 6
  • 2.3. Calibration of the model 6
  • 3. Emission reduction scenarios 6
  • The Twelfth Five-Year Plan for Prevention of Heavy Mental 6
  • The 6
  • 4. Policy simulations and key findings 8
  • 4.1. Macroeconomic results 8
  • 4.2. Sectoral results 9
  • 4.3. Abatement and environmental results 12
  • 4.4. Sensitivity analysis 14
  • Acknowledgments 15
  • References 15
  • 5. Conclusion 15
  • Dynamic modeling of pollution abatement in a CGE framework Econ. Modelling 21
  • 965-89 15
  • Netherlands: a dynamic applied general equilibrium assessment J. Policy
  • Modelling 28 207-21 15
  • income Ekon. Tidsk. 21 1-32 16
  • Zhuang J 1996 Estimating distortions in the Chinese economy: a general
  • equilibrium approach Economica 63 543-68 16
  • Figure 1. Diagrammatic overview of the main structure of the model. 4
  • Table 1. Basic structure of ESAM. 5
  • Table 2. The simple version of Chinese ESAM for the year 2007 (unit: 10 CNY). 7
  • Table 3. Equivalences of pollutants included in the OHP emission accounts. 8
  • Figure 2. Impact of total emission control policy on GDP (% change compared with
  • benchmark projection). 8
  • Figure 3. Impact of total emission control policy on growth rate. 8
  • Figure 4. Detailed analysis of economic costs of environmental policy. 9
  • Figure 5. Impact of total emission control policy on total 9
  • Figure 7. Impacts of the total emission control targets on sectoral production
  • in 2020 (% change compared with benchmark projection). 10
  • Figure 6. Impact of total emission control policy on investment (% change
  • compared with benchmark projection). 10
  • Figure 7 shows the impact of total emission reduction 10
  • Figure 9. Impacts of the total emission control targets on exports in 2020 (%
  • change compared with benchmark projection). 12
  • Table 5. Prices of tradable emission permits (CNY kg 1 in constant 2007 prices). 13
  • Figure 10. Impacts of the total emission control targets on imports in 2020 (%
  • change compared to benchmark projection). 13
  • Figure 11. Developments in abatement services over time with a 14
  • Table 7. Macroeconomic results of tradable and non-tradable permits in 2020. 14
  • Table 8 presents the 14
  • Table 8. GDP and EV losses in the 30% reduction scenario for alternative values
  • of main parameters. 15

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