The Emission Reduction Effect of Carbon Asset Market Development: An Empirical Analysis Based on Chinese Data

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Empirical analysis reveals carbon asset market's limited impact on emissions, indicating sector-specific dynamics.

Development of China's carbon asset market shows limited overall emission reduction effects, particularly in aviation and consumption sectors.
The study found a clear emission reduction effect in the industrial sector, highlighting its potential impact on climate goals.
Utilizing a univariate linear regression model, results are based on data from July 2021 to April 2025.
Policy implications focus on strategies for optimizing China's carbon market and aiding low-carbon transitions in developing nations.

Z. Merrick Li (2025) studied this question.

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