The Study On The Relationship Between The Structure Change Of Energy Consumption And Economic Growth In China

After reform and opening up,China enjoys a fast economic growth with substantial increase in energy consumption.Fossil energy is the main energy source in China,which caused serious environmental pollution and then economic growth and daily life are affected.Therefore,China takes measures to speed up the restructuring of energy industry actively.To remold the structure of energy consumption will change energy invested,both economic system and environment condition will be affected,and they will react on energy invested.Under these circumstances,to study the relationship between the structure change of energy consumption and economic growth is of great policy significance and theoretical significance for China's energy structure adjustment.Based on the data from 1978 to 2015 in China,the present situation and trend of energy consumption and economic growth are analyzed.The energy consumption structure is defined as the ratio of fossil energy consumption to non-fossil energy consumption,a new Cobb-Douglas production function is created which includes four factors of production: labor,capital,fossil energy and non-fossil energy,and then the relationship between energy consumption structure and economic growth is analyzed while the influence of total factor productivity on energy consumption structure is estimated.The results are as follows:(1)There is a long-run equilibrium relationship and a two-way Grainger causality between economic growth and production factors.(2)All factors of production can promote economic growth,the contribution of non-fossil energy to economic growth is greater than that of fossil energy if energy consumption structure is less than 10:1.(3)When total factor productivity growth rate increases 1%,energy consumption structure will improve 0.13%.Based on the above conclusions,the author puts forward policy recommendations which include:(1)Accelerate the adjustment and upgrading of industrial structure.(2)Optimize the structure of energy consumption.(3)Enhance research and development capabilities.