A Carbon Emission Adjustment Model Considering Green Finance Factors in the Context of Carbon Neutrality

Abstract

Global climate change has led to the ecological crisis of the Earth, and achieving carbon neutrality has become a common challenge for all countries. The role of green finance in carbon emission regulation cannot be ignored. Therefore, this study aims to construct a carbon emission regulation model that integrates green finance factors and provide a scientific basis for policy makers. In this study, the influence mechanism of green finance factors on carbon emissions was first clarified, and the evaluation model of green finance indicators was constructed. Then, using econometric methods, the carbon emission adjustment model for green finance factors is constructed. The empirical analysis and test results of the model show that the development level of green finance in most provinces and cities was between 0.1 and 0.3, and the eastern region is better than the western region. In the robustness test, the first term of carbon emissions is positive, and the second term is negative, both of which pass the significance test. In the control variable section, the coefficient of green credit balance is negative, indicating that issuing green credit balance will reduce carbon emissions. Among the control variables, the non-performing loan ratio coefficient of green projects is positive, and the p-value is 0.0071(passing the significance test), indicating that the increase of the loan ratio will increase carbon emissions. The above analysis shows that carbon emission regulation models play an important role in achieving carbon neutrality goals. In the controlled variables, the coefficient of non-performing loan ratio for green projects was positive, with a P value of 0.0071 (significance test passed), indicating that increasing the loan ratio would increase carbon emissions. The above analysis indicates that carbon emission regulation models play an important role in achieving carbon neutrality goals.

Keywords

• Carbon neutrality
• green finance
• carbon emissions
• entropy method
• PSTR