Measurement of the Impact of Fiscal Decentralization on Carbon Emission Based on STIRPAT

Abstract

Fiscal decentralization is an important factor impacting on carbon emission. Based on model and the SPIRPAT model, the impact of fiscal decentralization on carbon dioxide emission in China is discussed. Four indicators reflecting the degree of fiscal decentralization are adopted respectively to evaluate the influence. The results show that all of four different indicators characterizing the degree of fiscal decentralization have a significant positive effect on carbon emission. As the improvement of local government fiscal autonomy, the government has to sacrifice public goods with positive environmental externalizations to support the development of the high carbon industries.