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What is the driving force of the energy productivity? Evidence from China |
WEI Chu1(), SHEN Man-hong2() |
1. School of Economics and Management, Zhejiang Sci-Tech University, Hangzhou 310018, China; 2. College of Economics, Zhejiang University, Hangzhou 310010, China |
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Abstract This paper identifies the determinants of energy productivity based on a basic economic growth model. Using panel data including 29 provinces from 1995 to 2007, we find that energy productivity is negatively associated with the industry sector share in GDP and the state-owned sector share in GDP, and is positively associated with the electricity share in energy consumption. In addition, we find that there exists a big gap of energy efficiency among eastern, middle and western region in China. Our results suggest that we should induce the industry development structure from the industrial sector to service sector, prompt the reform of state-owned enterprises, as well as improve the energy consumption structure dominated by coal to diversified cleaning energy.
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Keywords
energy productivity
determinants
structure change
China
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Corresponding Author(s):
WEI Chu,Email:xiaochu@zstu.edu.cn; SHEN Man-hong,Email:smhsmh@zju.edu.cn
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Issue Date: 05 June 2009
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