A Study On Finance Policy Of China’s Carbon Emission Reduction

At present, China is in a critical period of time when the economic growth is consistent with environmental protection. The environmental protection can not be pressed too much to the economic development, so it objectively requires a flexible policy which is mainly to guide to manage the environment. And fiscal policies as a main policy in China’s macro-control is a comparatively flexible, efficient and orientative policy instrument, so on the issue of carbon emissions, it is necessary to research on using taxation policies. But according to the current situation of China’s fiscal policies, the effects of environmental governance is not so obvious, just as eighteen report: tight resource constraints, environmental pollution, ecosystem degradation are still grim situation which our country is facing at this stage. Therefore, in the current grim atmosphere, the government must quickly improve the policies which are associated with carbon emissions to reduce carbon emission.The main body of the article is divided into three main parts-the theoretical, empirical and policy recommendations. The theory part includes the second and third chapters.The second chapter used the Pigou principle, the principle of public goods and other classic principles to explain the basic content of fiscal policy and some commonly fiscal policies tools on the basis of the classical theory, such as tax policy, fiscal expenditure policy, tax incentives and so on,which compared with the advantage of fiscal policy in carbon emission reduction policies in the third chapter.The article range from the role of four aspects-policy costs, policy acceptability,the influence for economic growth to analyze the pros and cons between legal regulation, government regulation,carbon emissions trading and political taxation. As a result, fiscal policy is carbon reduction tool more adapted to China’s basic status.The fourth and fifth chapters of the article is the empirical part,also the core part. In this part,I have firstly analyzed China’s fiscal policies’ application status and used data analysis to do the comprehensive analysis for the status of implementation of fiscal policies in different periods. Eventually we realized that in this stage our fiscal policies has some shortcomings,for instance, imposing narrow range, lacking of environmental professional taxes, being too low environmental protection financial investment.Secondly, I did analyze to China’s energy consumption and carbon dioxide emissions situation with comprehensive data and creatively built a Carbon Reduction-Taxation Policy Index Evaluation Model which conducted a multi-dimensional comprehensive rating for the effect of carbon reduction fiscal policies from environment,economy,social life and policy.From all these, It came out the concrete evaluation values which built the foundation for improvement of fiscal policy.Policy recommendations part is in the chapter six.This chapter has given the advises for improving our carbon reduction fiscal policies on the basis of the problem which the fiscal policy has and come from empirical analysis and the successful experience of foreign countries:1.Broaden the tax range and impose taxes from circulation and consumption process;2.Establish normalized tax incentives, tax refund mechanism;3.Establish environmental special taxes;4.Improve the carbon emission reduction financial expenditure system and increase financial input of energy saving.The article has the innovation in terms of research perspective, empirical study, research conclusions. First of all, from the research perspective, the article used the careful thought and logic to structure the whole paper and get the result that carbon reduction policy has a transition from mainly administrative order to comprehensive using economic instruments. Then it has analyzed the implementation of fiscal policies for China’s carbon emissions and we realized that China’s carbon reduction fiscal policies is inadequate. At last,An antidote against the disease,according to the deficiencies and other countries’ experiences,we get a series of reasonable and feasible political advise.In the empirical research, the paper did completely analyze to the effect of the policy of carbon reduction and taxation policy by using the index evaluation system.Comparing with the former evaluation system for fiscal and taxation policies,it creatively joint the index which is talking about the impact of fiscal and taxation policies on the economic development and the life of residents in the purpose of carbon reduction so that the construction of the index system is more comprehensive and the evaluation is more reasonable. Meanwhile, in the process of the calculation of the weight of the index, it used the YAAHP software to accurately calculate the weights of the indexes,which is ahead of the fuzzy calculation of previous policy evaluation and made the result more scientific and accurate.Through a series of studies, the relevant conclusions are drawn. For example, the carbon emission reduction fiscal policy focuses only on the production process, but for circulation and consumption chains of taxation is not enough, which caused that the residents do not have a strong sense of emission reduction situation, the effect of carbon emission reduction fiscal policy guidance is not strong, did not form a normal policy and there is no significant effect on the economic adjustment.About the research methods,the article mainly used literature review, comparative analysis and empirical research.