Research on the Energy and Economic Impacts of Multi-region Linked Emissions Trading System

Abstract Emissions Trading Systems (ETSs) as cost-effective methods to facilitate emission abatement are raising more concerns. This paper implements different scenario analysis and simulates the establishing of a conceivable global emission trading system with China, USA, Europe, Australia, Japan and South Korea included using the computable general equilibrium model——CGEM. To investigate the interaction between China and global emission trading system, we analyse the impact on industrial structure, energy structure and international trade of China and clarify the role of China in context of global emission trading system.