Research On The Effects Of Chinese Clean Energy Consumption To Economic Growth

Due to the rapid development of global economic, traditional energy consumption increased dramatically, which consists of oil, and coal, and gas. Energy supply contradictions increased shapely, environmental problem became more serious, these problems have hindered China economic development and people life quality. In this situation, Chinese government values clean energy of development and energy emission reduction most. In conditions of low carbon constraint, how to reconcile economic development and energy consumption has become a major global issue. In this context, further study of clean energy consumption influence on economic growth have a certain theoretical and practical significance to China to develop clean energy industries and make relevant policy.The main contents of the paper and analysis methods are as follows:(1) In this paper, we overview the development of the current state of the clean energy at home and abroad. Describe the change of energy consumption structure, and discuss the development and utilization of foreign and domestic clean energy in detail.(2)In this paper, we divide energy into two parts, which are traditional energy sources and clean energy, focus on the effects of clean energy consumption on economic growth, based on the Chinese economic data between 1980 and 2013.Make empirical analysis on the relationship between energy consumption and economic growth. Use the theory of cointegration and error correction model to verify the relationship between economic growth and clean energy consumption. The result shows that China’s clean energy consumption and economic growth do exist a long-term and stable relationship, and establish a long-term and short-term equilibrium model. Then using Granger causality tests we learned that clean energy consumption does Granger cause China’s economic grow that a significant level of 5%.(3) In this paper, "capital ", and "labor", and "clean energy consumption", and "traditional energy consumption" are selected; calculate out the growth of the four elements. Then using VAR method, impulse response and variance decomposition to analyze each elements’ contribution rate, especially to clean energy consumption and traditional energy consumption We come to a conclusion that clean energy can be used as a new growth point of China’s economy. This is one basis of China’s development of clean energy industry.