Life expectancy and emission trading scheme: a case study in China

Area of Science:

• Environmental Science
• Health Economics
• Climate Policy Analysis

Background:

• Limited research quantifies the relationship between life expectancy and climate policy.
• Climate policies, such as emissions trading schemes, have complex effects on health and economy.
• Understanding these interactions is crucial for effective policy design.

Purpose of the Study:

• To investigate the relationship between life expectancy and the Chinese nationwide Emission Trading Scheme (CNETS).
• To quantify the dual effects of climate policy on life expectancy through economic and emission pathways.
• To explore the feedback loop between life expectancy and GDP under climate policy.

Main Methods:

• Utilized a Computable General Equilibrium (CGE) model to simulate economic systems and policy shocks.
• Modeled the impact of emission abatement policies on GDP and life expectancy.
• Analyzed the bidirectional relationship between life expectancy and GDP.

Main Results:

• Life expectancy is positively influenced by GDP and negatively by emissions; GDP's effect is dominant.
• Climate policy has a net positive effect on life expectancy, balancing emission reductions and economic impacts.
• Life expectancy enhances GDP, an effect amplified by climate policy, while its impact on emissions is minimal.

Conclusions:

• Climate policy and life expectancy exhibit a complementary relationship.
• Implementing climate policy can increase lifespan, and prolonging life expectancy can aid policy effectiveness.
• Policy interventions should consider the synergistic benefits between climate action and public health outcomes.