Estimating the long-run crude oil demand function of China: Some new evidence and policy options
China's remarkable economic progress over the past three decades has been complemented by massive energy consumption. Although coal has long been the primary energy source, the rise in crude oil use has been viewed as more contentious, because a large portion of crude oil is imported, whereas t...
| Main Authors: | , , , , , , |
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| Format: | Journal Article |
| Language: | English |
| Published: |
ELSEVIER SCI LTD
2022
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| Subjects: | |
| Online Access: | http://hdl.handle.net/20.500.11937/90061 |
| _version_ | 1848765322756096000 |
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| author | Li, S. Khan, S.U. Yao, Y. Chen, G.S. Zhang, L. Salim, Ruhul Huo, J. |
| author_facet | Li, S. Khan, S.U. Yao, Y. Chen, G.S. Zhang, L. Salim, Ruhul Huo, J. |
| author_sort | Li, S. |
| building | Curtin Institutional Repository |
| collection | Online Access |
| description | China's remarkable economic progress over the past three decades has been complemented by massive energy consumption. Although coal has long been the primary energy source, the rise in crude oil use has been viewed as more contentious, because a large portion of crude oil is imported, whereas the economy is mostly self-sufficient in coal. We examine the role of R&D effort and self-sufficiency on China's oil import function from 1980 to 2020. Using the autoregressive distributed lag model, we find that the R&D effort raises oil imports in the long run. However, we find oil imports to be independent from self-sufficiency in the long run. We also find that China's accession to the World Trade Organization has significantly changed the cointegrating relationship in the oil import function. Our results suggest that the government should continue to incentivize energy-saving measures and fund research projects on renewable energy sources. Furthermore, deregulation in the oil market is quintessential to energy security and stable growth in the long run. |
| first_indexed | 2025-11-14T11:33:25Z |
| format | Journal Article |
| id | curtin-20.500.11937-90061 |
| institution | Curtin University Malaysia |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-14T11:33:25Z |
| publishDate | 2022 |
| publisher | ELSEVIER SCI LTD |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | curtin-20.500.11937-900612023-02-08T07:57:29Z Estimating the long-run crude oil demand function of China: Some new evidence and policy options Li, S. Khan, S.U. Yao, Y. Chen, G.S. Zhang, L. Salim, Ruhul Huo, J. Social Sciences Science & Technology Technology Life Sciences & Biomedicine Economics Energy & Fuels Environmental Sciences Environmental Studies Business & Economics Environmental Sciences & Ecology Crude oil Demand function Energy consumption New energy pricing system ARDL China ENERGY-CONSUMPTION ECONOMIC-GROWTH IMPORT DEMAND ECONOMETRIC-ANALYSIS BOUNDS TEST COINTEGRATION PRICES MATTER DETERMINANTS ELASTICITIES China's remarkable economic progress over the past three decades has been complemented by massive energy consumption. Although coal has long been the primary energy source, the rise in crude oil use has been viewed as more contentious, because a large portion of crude oil is imported, whereas the economy is mostly self-sufficient in coal. We examine the role of R&D effort and self-sufficiency on China's oil import function from 1980 to 2020. Using the autoregressive distributed lag model, we find that the R&D effort raises oil imports in the long run. However, we find oil imports to be independent from self-sufficiency in the long run. We also find that China's accession to the World Trade Organization has significantly changed the cointegrating relationship in the oil import function. Our results suggest that the government should continue to incentivize energy-saving measures and fund research projects on renewable energy sources. Furthermore, deregulation in the oil market is quintessential to energy security and stable growth in the long run. 2022 Journal Article http://hdl.handle.net/20.500.11937/90061 10.1016/j.enpol.2022.113244 English ELSEVIER SCI LTD restricted |
| spellingShingle | Social Sciences Science & Technology Technology Life Sciences & Biomedicine Economics Energy & Fuels Environmental Sciences Environmental Studies Business & Economics Environmental Sciences & Ecology Crude oil Demand function Energy consumption New energy pricing system ARDL China ENERGY-CONSUMPTION ECONOMIC-GROWTH IMPORT DEMAND ECONOMETRIC-ANALYSIS BOUNDS TEST COINTEGRATION PRICES MATTER DETERMINANTS ELASTICITIES Li, S. Khan, S.U. Yao, Y. Chen, G.S. Zhang, L. Salim, Ruhul Huo, J. Estimating the long-run crude oil demand function of China: Some new evidence and policy options |
| title | Estimating the long-run crude oil demand function of China: Some new evidence and policy options |
| title_full | Estimating the long-run crude oil demand function of China: Some new evidence and policy options |
| title_fullStr | Estimating the long-run crude oil demand function of China: Some new evidence and policy options |
| title_full_unstemmed | Estimating the long-run crude oil demand function of China: Some new evidence and policy options |
| title_short | Estimating the long-run crude oil demand function of China: Some new evidence and policy options |
| title_sort | estimating the long-run crude oil demand function of china: some new evidence and policy options |
| topic | Social Sciences Science & Technology Technology Life Sciences & Biomedicine Economics Energy & Fuels Environmental Sciences Environmental Studies Business & Economics Environmental Sciences & Ecology Crude oil Demand function Energy consumption New energy pricing system ARDL China ENERGY-CONSUMPTION ECONOMIC-GROWTH IMPORT DEMAND ECONOMETRIC-ANALYSIS BOUNDS TEST COINTEGRATION PRICES MATTER DETERMINANTS ELASTICITIES |
| url | http://hdl.handle.net/20.500.11937/90061 |