Research on the Impact of Carbon Markets on Inter-Provincial Carbon Equity and Spatial Spillover Effects

With the deepening of the "dual carbon" goals (carbon peak and carbon neutrality), ensuring inter-provincial carbon emission equity alongside improving carbon emission reduction efficiency has become crucial. This paper uses panel data from 30 provinces in China from 2006 to 2023. Employing the multi-period difference-in-differences (DID) method and the spatial Durbin model, we investigate the impact of carbon trading markets on inter-provincial carbon emission equity. The results show that the implementation of carbon trading pilot policies significantly enhances inter-provincial carbon emission equity. Mechanism analysis further reveals that carbon trading pilot policies significantly improve inter-provincial carbon emission equity through industrial structure adjustment. Furthermore, heterogeneous effects on inter-provincial carbon emission equity exist across different regions and levels of income distribution. Further analysis indicates that the impact of carbon trading pilot policies on inter-provincial carbon emission equity exhibits a positive spatial spillover effect, with a negative "siphon effect" observed among pilot regions. Finally, policy recommendations are proposed based on the research findings. This study is of significant importance for enriching research in the field of carbon emission equity and promoting the establishment of a nationwide unified carbon market.