| Global climate change has become the one of most important research focus in the field of energy policy and environmental management. Address the climate change need to deal with the conflicting issues between greenhouse gas emission reduction and socio-economic development. As one of the greatest emitters of greenhouse gas in the world, an industrializing developing country, shows more complicate problem of conflict between economic development and greenhouse gas emission reduction. With the increasing pressure of greenhouse gas emission reduction, the study of China's energy conservation policy and carbon dioxide emission reduction policies has become one of the hottest issues on the fields of international academic research. How to coordinate the balance of relationship between economic development and carbon dioxide emissions has become an urgent need to address strategic issues. Therefore, this job applies a number of models and methodologies to quantitative research the critical path of reducing the growth rate of China's carbon dioxide emissions, and the impact of the emission reduction policies in current and possible implemented in future on the China's socio-economic. Main innovations are as follows:(1) Determine the "key" sectors, which caused a lot of energy consumption and carbon dioxide emissions, will help government departments to carry out strategies and policies of carbon dioxide emission reduction. Many scholars have present a variety of "key" sectors definition, also made a variety of methods to determine those sectors, but these studies are focus on developed countries, for such research on China is still do not. We view from I-O analysis, combined with the concept of elasticity of demand, defined the "key" sectors of China's energy consumption and carbon dioxide emissions. This method allows us to analyze the relationship of energy consumption, carbon dioxide emissions and sectoral economic activities, further to find out which sectors should be pay more attentions when China's government designing the energy saving and emissions reduction policy. In this study, we defined the China's "key" sectors of energy consumption and carbon dioxide emissions, which are the key roles when design of China's energy saving and emissions reduction policies. In which the departments of electricity and heat production and supply, non-metallic mineral products, steel rolling processing industry, chemical industry and construction are the most critical sectors, when consider energy saving and emission reduction in these sectors requires special caution, or else it may resulting in the constrained the development of economic systems.(2) With the growing concern on the environmental issues, the tertiary industry is generally considered as "low carbon" industry to be long-term support of its development. Only a study on Spanish services has researched this problem, the research for the Chinese still do not. The carbon dioxide emissions caused by production activities of China's tertiary industry are divided into five parts by using input-output subsystem (I-O Subsystem) approach, according to the consumer behavior of industrial sectors, then in-depth analysis of carbon dioxide emissions of China's tertiary industry. The results show that the indirect emissions of the tertiary industry should pay more attention when designing the environmental policy. While the pull effect of tertiary sectoral activities on carbon dioxide emissions of other sectors can not be ignored. In which the pull effects of education, health, administrative agencies and other industries, catering, wholesale and retail trade, transportation and warehousing industry on other sectors are most important. Therefore, how to spread the pull effect of industrial emissions on the first industry and second industry, and how to shift the tertiary sectoral consumption focus of carbon-intensive sectors to non-carbon-intensive sectors, are the important points to formation of China's low-carbon development path of the tertiary industry. In addition, reducing the carbon emissions intensity is also conducive to reduce emissions of the tertiary industry.(3) The globalization of trade has brought to the uncertainty of climate change, "carbon leakage" have long been an important focus in the climate change negotiations. Therefore, the greenhouse gas emissions caused by international trade can not be ignored in the agenda of global climate change negotiations. Many studies have explored this issue, but in most studies, they used the technical coefficients of importing countries to instead of exporting countries, thus affecting the accuracy of the results. We use the technical coefficients of each country to increase the accuracy of the results. In this study, we use the I-O model to analysis of the carbon dioxide emissions caused by international trade from the inter-sectoral perspective. We accounted for assessing the impact of carbon dioxide emissions caused by international trade on national and global carbon dioxide emissions through the in-depth analysis. Our initial findings reveal that:In 2007, the US reduced 79.14Mt CO2 emissions through the consumption of imported goods from China, while increasing global CO2 emissions by about 225.61Mt. Similarly, China reduced 81.75Mt CO2 emissions through the consumption of US goods, while reducing global CO2 emissions by 56.22Mt. Sino-US international trade increased global CO2 emissions by 169.40Mt as a whole, of which the Fabricated Metal Products, Machinery and Equipment Manufacturing and Transportation Equipment sectors contributed a 96.45% share. Therefore, we suggest that accelerating the adjustment of China's trade structure and export of US advanced technologies and experience related to clean production and energy efficiency to China as the way to reduce the negative impact of Sino-US trade on national and global CO2 emissions. This behavior should take into account the processing and manufacturing industries as apriority, especially the Chemical, Fabricated Metal Products, Non-metallic Mineral Products, Machinery and Equipment Manufacturing and Transportation Equipment sectors.(4) Examine the relationship of sectors within an economy, if we can rationalize the structure of relationships within the industry, ensure that changes the relationship of sectors without impact on the GDP growth, to reduce the share of high-intensity or high-yield sectors in total carbon dioxide emissions, thus achieving the emission reduction objectives without reduce the GDP growth. There is only one related study on Spanish, related on China's research in this field is still do not. We provide a tool to analyze the impact of trading behavior of sectors on carbon dioxide emissions. And further we find out the key part of economic activity which impact on the national and sectoral carbon dioxide emissions. This process not only allows us to see the direct impact of sectoral economic transactions on each secotral carbon dioxide emissions, but also we can see the indirect effects. Thus we can choose the key areas of technological development, or the importance direction of adjusting the economic structure to more effectively reduce our carbon dioxide emissions growth. Through research we found:the capital formation process of construction, consumption of other sectoral products by machinery and equipment manufacturing sector, exports and capital formation process of machinery and equipment manufacturing are the important factors which impact on China's carbon dioxide emissions. Their impacts on sectoral carbon dioxide emissions are relatively significant. Of which the most influential behavioral factor is impact of production consumption of the oil extraction industry by the oil processing industry on the carbon dioxide emissions of oil extraction industry. The capital formation process of construction is the most important behavior factor to impact on the sectoral carbon dioxide emissions when change the coefficient of final demand. The own products consumption by Fabricated Metal Products is the most important indirect impact on carbon dioxide emissions of metal Mineral Mining sector. The carbon dioxide emissions of electricity and heat production and supply sector suffer the most impact from economic behaviors.(5) China has not established an emission trading scheme, but through the Clean Development Mechanism (CDM), a flexible market mechanisms, that China could participate in international emission trading market. Most of the current studies of China's emission trading scheme were focus on the technology transfer of clean development mechanism in China, as well as discussed the scenarios of related policies when China's participate in international emission trading market in future. And there is still no study on the simulation of the existing emission trading policies of China. We constructed the bilateral carbon emission trading model between developed and developing countries. Use the data of China and Japan to develop an empirical study of two types of policies designed by the Chinese government:(1) setting a guiding price for a clean development mechanism; and (2) extracting revenue from enterprises to support the activities of dealing with the challenge of climate change. This study analyzes the feasibility of these two policies and discusses how they influence China-Japan emission trading. The results indicate that:(1) there exist reasonable control scales for the guiding price and the extraction proportion of the policies. Raising the guiding price or extraction proportion within these scales will raise carbon prices and improve the benefit to China in China-Japan bilateral emission trading. (2) If other suppliers successfully entering the China-Japan bilateral emission trading market, which will reduce the allowed space for the carbon price and will reduce China's bargaining space. (3) Compared with the guiding price policy, the extraction policy is more advantageous for mobilizing the enthusiasm of enterprises to reduce administrative intervention and is more conducive to optimization of China's profit.
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