Kyoto, Shmyoto: China Dwarfs It!
Forecasting the path of China's CO2 emissions using province-level
Maximilian Auffhammer & Richard Carson
Journal of Environmental Economics and Management, May 2008, Pages 229-247
Our results suggest that the anticipated path of China's carbon dioxide (CO2) emissions has dramatically increased over the last five years. The magnitude of the projected increase in Chinese emissions out to 2010 is several times larger than reductions embodied in the Kyoto Protocol. Our estimates are based on a unique provincial-level panel data set from the Chinese Environmental Protection Agency. This data set contains considerably more information relevant to the path of likely Chinese greenhouse gas emissions than national level time series currently in use. Model selection criteria clearly reject the popular static environmental Kuznets curve specification in favor of a class of dynamic models with spatial dependence.
(nod to KL)