The Energy Rebound Effect in Chinese Three Industries Based on Technological Progress

Abstract

Energy rebound effect theory provides supports for energy policies, which has become a hot research direction at home and abroad. In this paper, we conduct empirical research of energy rebound effect using 1978-2007 macroeconomic data at China's national and three industries level. The results show that: the average energy rebound effect of China during 1979-2006 is 58.24%, a little higher than most developed countries; the energy rebound effect has periodic variations, and these changes are almost entirely consistent with the economic cycles, the energy rebound effects of the three industries are decreasing in turn, which shows that conducting industrial structure adjustment will contribute to energy conservation, adding investment often led to the energy rebound effect size bigger. Therefore, energy conservation can not simply rely on technological progress, but should be supplemented by energy prices and tax and other macro control policies.