Research On The Convergence Effect Of Green Finance Development On Carbon Emission Intensity In China

In recent years,the issue of carbon reduction has attracted widespread attention from all walks of life,and how to achieve both economic and environmental development is an issue that must be considered in the overall economic and social development of China.As China is the largest developing country,there are significant differences in the natural conditions,policy orientation and functional positioning of each region,and the effectiveness of carbon reduction efforts varies.Localised and effective policies to reduce carbon emissions can serve to coordinate regional development and narrow regional gaps,or conversely,increase them.This requires a scientific and correct understanding of the spatial distribution of carbon emission indicators such as total carbon emissions,per capita carbon emissions and carbon intensity in different regions,as well as their evolution trends.As an important carbon emission reduction policy to improve the environment,conserve resources and address climate change,the importance of green finance policy is self-evident in promoting the coordinated development of emission reduction and carbon reduction efforts in different regions.Based on the theories of convergence of economic growth,low-carbon economy and technological innovation,this study provides an in-depth discussion on the convergence of carbon emission intensity in China,the convergence effect of green financial development on carbon emission intensity and the transmission channels,and provides a theoretical basis and quantitative support for the formulation of differentiated green financial policies and carbon emission reduction policies by the government and financial regulators in China.This paper follows the technical route of "literature review-index measurement-current situation analysis-theoretical discussion-empirical test-conclusion".Firstly,we systematically review the relevant literature at home and abroad and formulate the research ideas;secondly,we measure the carbon emission intensity of each province and city in China according to the IPCC method,and at the same time,we use the entropy method to measure the green financial development index to measure the level of regional green financial development,and analyse the current situation of both;then,we conduct a theoretical analysis on the transmission mechanism of green financial development-green technology innovation-carbon emission and Further,based on the convergence and moderation models incorporating spatial effects,the convergence of carbon emission intensity and the impact of green financial development on the convergence of carbon emission intensity are empirically analysed and named as the convergence effect of green financial development.Finally,the robustness,heterogeneity and transmission mechanism of the convergence effect are empirically tested.The main findings are as follows: first,there is absolute β convergence in carbon emission intensity across the country,east,central and west,and after the introduction of control variables,the country and the regions show significant conditional β convergence,and the convergence rate of carbon emission intensity across provinces and cities shows a pattern of fastest in central,second in east and slowest in west;second,there is a significant positive effect of green financial development on the convergence of carbon emission intensity in China.The regional heterogeneity analysis shows that the convergence effect of green financial development is more significant in the central and western regions compared to the eastern regions.Thirdly,the results of the mechanism test show that green financial development shows a positive contribution to convergence through the green technology innovation channel.Based on the empirical results,the following recommendations are made: first,to accelerate the construction of a green financial system and coordinate the development of green finance;second,to implement differentiated green financial policies to lead the way;third,to unblock the green financial transmission channels to ensure that green finance effectively supports enterprises’ green innovation activities.