Study On The Economic Effect Of New Energy Policy In China

Under the background of global natural resources depletion,global warming and environmental deterioration,countries all over the world pay attention to the development of green economy.According to World Bank,energy consumption per capita of China increased from 464.93 kg oil equivalent in 1971 to 2236.73 kg oil equivalent in 2014.China is a big energy consumer.In the past 40 years,energy consumption has increased rapidly,which has brought great pressure to the sustainable development of economy and society.Adjusting the economic structure and changing the mode of economic development has become one of the main tasks of economic development.From the perspective of economy,society,environmental protection and energy security,the extensive mode of energy consumption and economic growth are not sustainable.We must reduce the total amount of fossil energy consumption,reduce the intensity of energy consumption,reduce carbon emissions,develop new energy and develop green economy.The key to promote the development of green economy is to develop new energy,and the support from government policy is a powerful guarantee for the development of new energy.The original intention is to promote the development of new energy industry through the formulation of new energy policies.Does China’s new energy policy effectively guide resources into the new energy industry,so as to promote the development of the new energy industry? When the new energy policy is promulgated,are the R&D investment intensity of new energy listed companies greater than that of traditional ones? After the promulgation of the new energy policy,does it effectively promote the development of the new energy industry,so as to promote the development of green economy? As for these problems,there is lack of in-depth and systematic research.From the perspective of economic effect of new energy policy,this paper systematically studies the impact of China’s new energy policy on New Energy listed companies and the development of green economy in micro and macro levels.Firstly,this paper studies the relationship between the new energy policy and the abnormal return rate of listed companies,and discusses whether the new energy policy guides the capital to flow into the new energy industry to realize the optimal allocation of resources;secondly,through the research on the R&D investment intensity of listed companies,it is demonstrated that after the new energy policy is promulgated,the R&D investment intensity of new energy companies is greater than that of traditional ones.After that,whether the new energy policy is effective to improve the development of green economy.The main research work and conclusions are as follows1.This paper uses the event study method to study whether the new energy policy will guide the capital to flow into the new energy industry and realize the optimal allocation of resources.The empirical research finds that:(1)after the new energy policy was promulgated,the research samples of New Energy Listed Companies in Shanghai and Shenzhen Stock Exchange had significantly positive average abnormal return rate on the date of promulgation of new energy policy(t = 0);(2)after the promulgation of new energy policy,both Shenzhen Stock Exchange and Shanghai Stock Exchange had significantly positive abnormal return rate;(3)After the promulgation of new energy policy,both state-owned and non-state-owned New Energy listed companies have significantly positive abnormal returns;(4)after the promulgation of new energy policy,New Energy Listed Companies in the eastern region and non eastern region have significantly positive abnormal returns.It can be concluded that after the new energy policy is promulgated,the stocks of new energy listed companies will have a significantly positive abnormal rate of return,which indicates that the new energy policy guides the capital flow into the new energy industry and realizes the optimal allocation of resources.2.This paper constructs a multiple regression model to study whether the R&D investment intensity of new energy enterprises is greater after the promulgation of new energy policy,and the impact of policy support on R&D investment intensity of companies.The empirical study finds that:(1)after the promulgation of the new energy policy,the R&D investment intensity of the new energy enterprises is greater than that of the traditional enterprises;(2)among the enterprises supported by the new energy policy,the greater the policy support,the greater the R&D investment intensity.Industrial policy can effectively reduce the cost of information collection,reduce the market information asymmetry,reduce transaction costs,and generate positive incentives for enterprises’ R&D investment.At the same time,the guidance of government industrial policy can effectively increase the supply of public goods.After the promulgation of the energy policy,compared with the traditional enterprises,the R&D investment intensity of new energy enterprises is greater.In the enterprises supported by new energy policy,the greater the policy support,the greater the intensity of R&D investment.3.This paper constructs a panel model to study the relationship between the number of new energy policies issued and energy consumption per unit GDP,and discusses the relationship between the support of new energy policies and the development of green economy.The empirical study finds that:(1)the number of new energy policies issued has a significant negative correlation with the energy consumption per unit GDP,which indicates that the new energy policies can effectively reduce the energy consumption per unit GDP,thus proving that the new energy policies are helpful to improve the development of green economy;(2)after the new energy policies lag for one period,it can still effectively reduce the energy consumption per unit GDP,which proves that new energy policies can improve the development of green economy continuously.(3)From the absolute value of explanatory variable coefficient,the absolute value of the sample in eastern region is greater than that in non eastern region,which indicates that new energy policy can effectively reduce GDP energy consumption in eastern region.It is proved that the new energy policy has regional characteristics in improving the development of green economy,and the eastern region is obviously stronger than the non eastern region.Most developed countries and developing countries have generally adopted industrial policies to support the development of relevant industries in the process of economic development.The government should compensate for the loss of efficiency caused by market failure and promote the upgrading of industry and technology.From the perspective of policy effectiveness,new energy policy helps to improve the development of green economy;from the perspective of policy timeliness,new energy policy has sustainability in improving the development of green economy;from the perspective of regional difference of policy effectiveness,there are regional differences in new energy policy,and the eastern region is obviously stronger than the non eastern region.To sum up,the new energy policy has significant short-term micro effect and long-term macro effect.China’s new energy policy has improved and innovated the new energy policy on the basis of learning from the industrial policies of European and American countries and combining with China’s national conditions.Through policies to guide resources into the new energy industry,and finally promote the development of green economy.In the short term(within 3 days),the new energy policy first impacts the stock price of new energy listed companies.Empirical research shows that this kind of favorable policy will bring positive impact to new energy listed companies,resulting in significantly positive abnormal return rate;in the short term(within 3 years),compared with traditional enterprises,new energy enterprises have greater R&D investment intensity,and in the enterprises supported by new energy policy,the new energy policy will have a positive impact on the stock price of new energy listed companies In the industry,the greater the policy support,the greater the intensity of enterprise R&D investment;in the long term(more than 5 years),the government gradually constructs and improves the policy system,so as to attract all sectors of the society to be optimistic about the new energy industry and invest resources in the new energy industry,so as to provide a solid support for the new energy industry to move towards the advanced stage,and finally improve the development of green economy.The innovation of this paper is mainly reflected in the following three aspects:1.This paper systematically studies the economic effects of the new energy policy from the micro and macro perspectives.It extends the research of China’s new energy policy,expands the scope of China’s new energy policy research,and enriches the current research literature in this field.The current literature research on China’s new energy policy mainly focuses on the carding of relevant laws and regulations of new energy policy and the comparison of policy development paths at home and abroad.Some researches discuss the impact of new energy policy on enterprise behavior,but there is a lack of systematic research on micro subject and macroeconomic impact.This paper will systematically study the economic effects of China’s new energy policy from the micro and macro dimensions.By studying the short-term stock price fluctuation of new energy listed companies after the promulgation of the new energy policy,we can clarify the impact of new energy policy on micro entities in the short term,and we can observe the investor’s recognition of the new energy policy;by studying "whether the new energy policy promotes the new energy listed companies to increase R&D investment",the micro effects of new energy policy is verified from the perspective of R&D.Through the research on the economic effect of the new energy policy,we can further promote the rational formulation of the policy and strengthen the effectiveness and timeliness of the policy.Through the study of "whether the new energy policy is effective to green economy" and "whether the new energy policy has timeliness",this paper provide empirical evidence for the macroeconomic impact of new energy policy.2.The impact of the new energy policy is divided into two stages: short-term micro effect and long-term macro effect.This paper studies the impact of new energy policy on micro subjects and green economy in different time stages.Through the comparative analysis of the two stages,the effects of new energy policy in different time period can be noticed.This paper divides the time into short-term and long-term,and examines the economic effects of new energy policies in different periods: in the short-term(within 3 days),it mainly investigates the impact of new energy policies on stock prices,observes whether the new energy policies guide short-term capitals to purchase new energy listed companies’ stocks through abnormal return rate,and studies whether the new energy policies can guide capitals to flow into new energy industry.In the short term(within 3 years),through the analysis of the R&D investment intensity of listed companies,whether the new energy policy guides enterprises to increase R&D investment intensity is studied;in the long term(more than 5 years),the relationship between new energy policies issued and the energy consumption per unit GDP is studied to discuss whether the new energy policy promotes the development of green economy.Through the study of short-term and long-term economic effects,this paper demonstrates that the new energy policy can effectively guide individual investors and enterprises to invest resources into the new energy industry,and finally improve the development of green economy and realize the transformation and upgrading of China’s economy.3.From the perspective of stock price volatility and abnormal return of listed companies,this paper puts forward the research of short-term micro-economic effects after the promulgation of new energy policy.The fundamental purpose of the formulation and promulgation of new energy policies is to guide resources into the new energy industry encouraged by the state,which is embodied in investors’ purchase of shares of new energy listed companies.In essence,the promulgation of the policy is to send a clear signal to the society to show the direction of the government’s industrial guidance to the public.This kind of signal will be integrated into the stock price of the listed company,thus reflecting the investor’s attitude towards the policy through the purchase and sale of the stock.Therefore,this research idea can be applied to effectively analyze whether the new energy policy has realized the effective allocation of resources and guide funds into the new energy industry.The policy suggestions are as follows:This paper finds that the new energy policy has significant short-term micro effect and long-term macro effects.China’s new energy policy has improved and innovated the new energy policy on the basis of learning from the industrial policies of European and American countries and combining with China’s national conditions.Therefore,we should continue to use the institutional advantages of China’s new energy policy,expand its coverage and improve its support;continue to adhere to and improve the fiscal and tax policies to guide the benign development of the new energy industry;continue to promote the construction of the stock market and provide financial supports to new energy enterprises;and further increase the support and reward of new energy policy for R&D of non-state-owned enterprises,especially for technological innovation of private enterprises;further promote the construction of green development and innovation system,so as to make the new energy policy more effective in allocating resources,more incentive for enterprise R&D innovation,and more conducive to the development of China’s new energy industry and green economy.