This paper aims to investigate the impact of liquidity on return dynamics between carbon emission trading market and stock in China from 2013 2021. In market, we find that any given day can significantly predict cross-section returns next day. Furthermore, examine spillover effect two markets has a greater market. We also evidence improve Finally, observe volatility not only deteriorates but wh...

China has adopted a gradualism principle in establishing its carbon emission trading system from the regional pilot markets to national one. In view of huge market potential and large differences across China, this paper applies cointegration test VECM (Vector Error Correction Model) investigate long-run trends price dynamics markets. The results show that prices form three exhibit mean-reversi...

We propose a model for trading in emission allowances in the EU Emission Trading Scheme (ETS). Exploiting an arbitrage relationship we derive the spot prices of carbon allowances given a forward contract whose price is exogenous to the model. The modeling is done under the assumption of no banking of carbon allowances (which is valid during the Phase I of Kyoto protocol), however, we also discu...

The cost of providing air transportation for passengers and cargo to, from, and within the European Union was scheduled to increase in 2012 due to the EU Emission Trading Scheme. The European Union (EU) has legislated that aircraft landing or taking off from EU airports are subjected to the Emission Trading System (ETS) and are levied a charge for the estimated amount of carbon dioxide (CO2) ge...

Over the past 10 years, the Chinese State Environmental Protection Administration (SEPA) has actively investigated the potent to use emission trading to reduce sulphur dioxide (SO2 ) emissions from electricity generators and industrial sources. In 1999, SEPA partnered with the U.S. Environmental Protection Agency (U.S. EPA) to cooperate on a study to assess the feasibility of implementing SO2 e...

Emission trading in the EU will begin in 2005, covering the least uncertain emission sources of greenhouse gas emission inventories (CO2 from combustion and from selected industrial processes in large installations). If the Kyoto Protocol enters into force, the emission trading covering all gases (CO2, CH4, N2O, HFCs, PFCs and SF6) and sectors (energy, industry, agriculture, waste, land use, la...

China is facing serious haze pollution while its economy developing at a high speed. Nevertheless, traditional command-and-control environmental regulation has been ineffective in reducing pollution. The Chinese government must find more effective ways to combat immediately. Through the synthetic control method, this paper uses provincial PM2.5 concentration and economic data from 2000 2016 exa...

As the global pursuit of carbon neutrality has intensified, influence emission limits on supply chain become increasingly evident. The purpose this study is to investigate optimal financing options under reduction percentage measure and provide recommendations for carbon-emitting enterprises. This focuses a consisting capital-constrained manufacturer capital-rich retailer. Under measure, we use...