Can Carbon Trading Narrow Urban-Rural Income Disparity?
As a significant challenge,how to narrow urban-rural income disparity is an important issue in achieving China's Model of Modernization for Common Pros-perity.We explore the intrinsic logic of the impact of carbon trading on urban-rural income disparity,utilizing data from 208 sample cities in China from 2010 to 2019 and employing a differences-in-differences approach to empirically examine the effects and mechanisms of carbon trading on urban-rural income disparity.The study findings indicate that carbon trading can significantly reduce the income dis-parity,with the effect mainly being realized through increased rural residents'in-come.The effect of carbon trading in narrowing the income gap between urban and rural areas is significantly heterogeneous in different types of cities,and the narro-wing effect on cities with high carbon emission intensity,low urbanization level and high coal dependence is more obvious.By integrating carbon trading and urban-rural income disparity within a unified framework,we innovatively propose the income distribution effect of carbon trading to provide reference for achieving the two goals of"Dual Carbon Strategy"and common prosperity.
Carbon TradingUrban-rural Income DisparityResidents'IncomeCommon Prosperity