The Impact Of Open Economy To China On Carbon Emission

In the background of world economic integration, China enjoys rapid economic development. At the same time, more and more foreign investment flows into China, and makes China a big market in international trade. Meanwhile, domestic companies exploit oversea markets. The developed countries consider low-carbon economy as the key to solve resources shortage and global warming. Therefore, this paper studies the impact of foreign direct investment, outward foreign direct investment and international trade to carbon emissions in China.Based on previous studies, establish calculation model to estimate the carbon emissions according to the energy consumption of regional and sector statistics. Then, analyze the on the characteristics of carbon emissions among region and industry on the basis of the calculation model. Furthermore, use the revised Cole et al model to do the empirical test with the regional and industry panel data, in order to calculate the influence of foreign direct investment, outward foreign direct investment and international trade in carbon emissions to China.The empirical results show that foreign direct investment and outward foreign direct investment help reduce carbon emissions in China both in regional and industry panel data, while export increases the carbon emissions. Furthermore, import trade causes the growth of carbon in industry analysis, and it makes decreases in regional study. Based on above conclusions, this article gives the policy recommendations in order to provide reference for the relevant departments.