Abstract:One of the serious issues that China faces during its fast economic development is the low input-output efficiency of water and energy resources and growing water pollution. With the current economic development model of China, economic growth still requires large input of water resource and energy resource. This paper has focused on the total factor efficiency of water resource and energy resource by each province in China. We treat the undesirable outputs as outputs in the DEA-SBM Model instead of as inputs in previous studies, and design a new MATLAB programming to achieve optimization solutions of multi-variable constrained nonlinear functions to evaluate the Total Factor Efficiency of Water resource (TFEW) and the Total Factor Efficiency of Energy (TFEE) in China accurately. By using the method, this paper has analyzed the TFEW and TFEE in China from 2003 to 2014 by economic zones and typical provinces and provided corresponding policy recommendations.
Low energy efficiency and severe environmental pollution are two growing issues haunting China's fast economic development. Under China's current development model, economic growth still heavily depends on massive energy input, which makes energy efficiency one crucial topic in order to secure future sustainable development of China. This paper focuses on the unique energy ownership structure of China, and designs and adopts MATLAB programming for optimization solutions of multi-variable constrained nonlinear functions to obtain results that can better reflect China's energy efficiency and solutions to sustainable development of China. Using this model, this paper conducts an empirical analysis on the impact of difference energy investment behaviors between China's state-owned entities and non-state-owned business on China's Total Factor Energy Efficiency (TFEE) and sustainable development from 2003 to 2014. We find that Beijing and Shanghai represent the highest energy efficiency level in China. However, except for the more developed regions in Eastern China, for other provinces in Northeast China, Central China and Western China, the TFEE of energy investment by state-owned and non-state-owned economies are both quite low compared with the optimal level. Based on the above findings from the empirical study and detailed analysis by region, this paper discusses the possible reasons for China's low TFEE and provides implications and policy recommendations.
With increasing emissions of industrial wastewater and poor control measures, environmental pollution has become a serious issue haunting China's economic development. Meanwhile, the current pollution management policy system in China is mainly under the supervision of the central government and executed by local governments. Under the current economic growth model of China, the industrial sector remains the dominant segment of our economy, which makes the Total Factor Efficiency (TFE) evaluation and policy analysis of industrial wastewater control decisive factors concerning China's future economic growth and sustainable development. Based on existing studies of China and abroad, and with the help of a Data Envelope Analysis (DEA) model, this paper used 39 industrial sectors and their input-output data from 2003 to 2014 of China as Decision Making Units to calculate the TFE of wastewater control in different industrial sectors of China. Moreover, we have designed and adopted our own MATLAB programming for optimization solutions of multi-variable constrained nonlinear functions in order to obtain a more accurate estimation of the TFE of wastewater control. Based on our calculation results, this paper further explained the difference in TFE and policy implications across typical industries in China, and offered policy recommendations accordingly.
After decades of economic development in China, its energy consumption still relies heavily on coal, and the dominant segment of our economy-the industrial sectors with large coal input-have caused massive wastewater pollution. To provide a decision-making basis for the sustainable development of Chinese industry and economy, this paper selected 39 industrial sectors in China and studied their Total Factor Efficiency (TFE) using Dual Target Variables of coal input and wastewater control during 2003-2014. The results showed that 82.05% of the total industries within our study scope had an efficiency level below 0.5. Over the entire study period of 2003-2014, only the national monopoly industries and high and new tech industries were able to maintain the optimal efficiency level. In comparison with the existing Data Envelope Analysis (DEA) Model and studies on TFE using multi-target variables methods, this paper has probably made two improvements. First, we improved the original DEA model to calculate the TFE of two target variables (coal input and wastewater control) at the same time. Second, we developed an algorithm to calculate the TFE of industrial coal input and wastewater control from 2003 to 2014, based on the official input-output statistics of China.
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