Exploring the effect of a low-carbon city pilot policies on carbon dioxide emission intensity: Based on the PSM-DID method

In 2010, the National Development and Reform Commission launched the low-carbon city (LCC) pilot program. The scope of the pilot program was then gradually expanded to address the dilemma concerning economic development and low-carbon transition. Selecting the second batch of LCCs in China, this study uses a combination of propensity score matching and difference-in-differences models to determine the effect of LCC pilot policies on CO₂ emission intensity. We also used the mediation effect model to further investigate its internal mechanism. The findings of the study are as follows. First, the LCC pilot policy plays an important role in reducing carbon emissions. Second, LCC pilots policies reduce CO₂ emissions through intermediary paths of output adjustment and technological innovation. Third, our heterogeneity analysis reveals that cities with higher levels of economic growth and better levels of human capital have superior carbon emission reduction effects; lastly, non-resource-based cities have better carbon emission reduction effects.