The Impact Of Fiscal Decentralization And Fiscal Environmental Spending On Carbon Emission Reduction

The report of the 20th Party Congress clearly states that Chinese-style modernization is a modernization in which people and nature live together in harmony.Greenhouse gases as a component of environmental pollution,China should take measures to reduce CO₂emissions.Fiscal is the foundation and important pillar of national governance,and plays an important role in energy conservation,emission reduction and low-carbon environmental protection.Energy conservation and environmental protection expenditures in fiscal expenditures assume the function of environmental pollution protection and treatment,and the government can protect the ecological environment in its jurisdiction through energy conservation and environmental protection expenditures to ensure high-quality economic development in its jurisdiction.Under the fiscal decentralization system,local governments are more aware of the preferences of residents and environmental pollution management in their jurisdictions than the central government.But whether and how much the effect of fiscal environmental spending on carbon emission reduction will be affected by the fiscal decentralization system is a question worth considering.There are relatively few results that analyze the organic combination of fiscal decentralization,fiscal environmental protection expenditure and carbon emission reduction.Based on the above background,this paper integrates fiscal decentralization,fiscal environmental protection expenditure and carbon emission reduction into a unified research scope.Firstly,this paper compares the relevant literature to understand the current research status of scholars,which provides a reference for the subsequent theoretical foundation analysis;secondly,it elaborates the core concepts and related theories,analyzes the current situation of fiscal decentralization,fiscal environmental protection expenditure and carbon emission reduction in China,and believes that China’s carbon emissions need to be further reduced and government departments need to increase environmental protection,which provides a basis for the following empirical analysis;finally,it selects the period from 2007 to 2019,which is the period from 2007to 2019.Finally,a panel fixed-effects model of provincial economy is established for 30provinces and autonomous regions of China（except Tibet）from 2007 to 2019,and after regression,it is concluded that there is an inverted U-shaped nonlinear relationship between fiscal environmental protection expenditure and provincial per capita carbon emissions,and the fiscal decentralization system can effectively strengthen the contribution of fiscal environmental protection expenditure to carbon The regression results are consistent with the baseline regression after introducing the first-order lag of fiscal environmental protection expenditure and fiscal revenue decentralization,and the heterogeneity test based on the gradient,mean value of carbon emission and population size.Medium-sized cities have better emission reduction effects than large cities and megacities.Based on the above analysis,this paper proposes the following policy recommendations:increase the investment in environmental protection expenditures and improve their contribution to environmental protection;deepen the reform of the fiscal system,clarify the affairs and expenditure responsibilities of each main body;improve the fiscal decentralization system,especially the environmental fiscal transfer payment system;promote the advanced and rationalized industrial structure and accelerate the industrial transformation and upgrading;improve the local performance evaluation system and implement non-economic performance indicators;give play to the The multiplier effect of fiscal expenditure to encourage market players to increase investment in environmental protection.