Decomposition analysis of sustainable green technology inventions in China

Fujii, Hidemichi and Managi, Shunsuke (2018): Decomposition analysis of sustainable green technology inventions in China.

Abstract

Sustainable green technology is an important contributor to creating a sustainable society by simultaneously promoting environmental conservation and economic development. This study examines the determinants of sustainable green technology invention in China, with a focus on the differences in green technology development priorities in each five-year plan period. This study uses patent publication data in a patent decomposition analysis framework. We find that sustainable green patent publications increased due to efficiency improvements, the prioritization of sustainable green patents, an increased R&D expenditure share and economic growth, especially during periods of gradual economic development in China. Additionally, we find that the relative priority of R&D shifted from renewable energy technology to pollution abatement and other sustainable green technology in the 12th five-year plan. The different R&D priority trends for sustainable green technologies among the five-year plans can be used to formulate effective policies that promote sustainable green technology invention.

• Item Type: MPRA Paper
• Language: English
• Keywords: sustainable green technology; patent data; decomposition analysis; China; priority change
• Subjects: O - Economic Development, Innovation, Technological Change, and Growth > O3 - Innovation ; Research and Development ; Technological Change ; Intellectual Property Rights > O32 - Management of Technological Innovation and R&D; O - Economic Development, Innovation, Technological Change, and Growth > O4 - Economic Growth and Aggregate Productivity > O44 - Environment and Growth; Q - Agricultural and Natural Resource Economics ; Environmental and Ecological Economics > Q5 - Environmental Economics > Q55 - Technological Innovation; Q - Agricultural and Natural Resource Economics ; Environmental and Ecological Economics > Q5 - Environmental Economics > Q56 - Environment and Development ; Environment and Trade ; Sustainability ; Environmental Accounts and Accounting ; Environmental Equity ; Population Growth

References

Ang, B.W., Zhang, F.Q. and Choi, K.H. (1998). Factorizing changes in energy and environmental indicators through decomposition. Energy, 23 (6), pp. 489-495.

Burke, P.J., Liao, H. (2015). Is the price elasticity of demand for coal in China increasing? China Economic Review 36, pp. 309-322.

Chapman, A., Fujii, H., Managi, S. (2018). Key drivers for cooperation toward sustainable development and the management of CO2 emissions: Comparative analysis of six northeast Asian countries. Sustainability vol.10(1), 244; doi:10.3390/su10010244

China daily (2015) 9.4 trillion yuan pledged to fight water, air pollution. http://www.chinadaily.com.cn/business/2015-08/14/content_21589165.htm

Cho, J.H., Sohn, S.Y. (2018). A novel decomposition analysis of green patent applications for the evaluation of R&D efforts to reduce CO2 emissions from fossil fuel energy consumption. Journal of Cleaner Production. 193, pp. 290-299.

Dang, J., Motohashi, K. (2015) Patent statistics: A good indicator for innovation in China? Patent subsidy program impacts on patent quality. China Econ. Rev. vol. 35, pp.137–155.

Fujii, H. (2016). Decomposition analysis of green chemical technology inventions from 1971 to 2010 in Japan. Journal of Cleaner Production vol. 112(5), pp. 4835–4843.

Fujii, H., Managi, S. (2013). Decomposition of toxic chemical substance management in three U.S. manufacturing sectors from 1991 to 2008. Journal of Industrial Ecology vol. 17(3), pp. 461-471.

Fujii, H., Managi, S. (2016). Research and development strategy for environmental technology in Japan: A comparative study of the private and public sectors. Technological Forecasting & Social Change vol. 112, pp. 293-302.

Fujii, H., Managi, S. (2017). Wastewater management efficiency and determinant factors in the Chinese industrial sector from 2004 to 2014. Water, vol. 9(8), 586: doi:10.3390/w9080586

Fujii, H., Managi, S. (2018). Trends and priority shifts in artificial intelligence technology invention: A global patent analysis. Economic Analysis and Policy vol. 58 pp. 60–69.

Fujii, H., Assaf, A.G., Managi, S., Matousek, R. (2016). Did the financial crisis affect environmental efficiency? Evidence from the Japanese manufacturing sector. Environmental Economics and Policy Studies vol. 18(2), pp. 159-168.

Fujii, H., Managi, S., Kawahara, H. (2011). The Pollution Release and Transfer Register system in the U.S. and Japan: An analysis of productivity. Journal of Cleaner Production, vol.19(12), pp.1330-1338.

Hu, A.G.Z., Zhang, P., Zhao, L. China as number one? (2017) Evidence from China's most recent patenting surge. J. Dev. Econ. Vol. 124, pp. 107–119.

Huang, L., Rao, C., van der Kuijp, T.J., Bi, J., Liu, Y. (2017) A comparison of individual exposure, perception, and acceptable levels of PM2.5 with air pollution policy objectives in China. Environmental Research 157, pp. 78-86.

Ibarloza, A., Heras-Saizarbitoria, I., Allur, E., Larrea, A. (2018) Regulatory cuts and economic and financial performance of Spanish solar power companies: An empirical review. Renewable and Sustainable Energy Reviews 92, pp. 784-793.

Koh, S.C.L., Ibn-Mohammed, T., Acquaye, A., Feng, K., Reaney, I.M., Hubacek, K., Fujii, H., Khatab, K. (2016). Drivers of U.S. toxicological footprints trajectory 1998–2013. Scientific Reports vol. 6: 39514. 10.1038/srep39514.

Li, L. (2017). China’s manufacturing locus in 2025: With a comparison of “Made-in-China 2025” and “Industry 4.0”. Technological Forecasting & Social Change (forthcoming) doi.org/10.1016/j.techfore.2017.05.028.

Organisation for Economic Co-operation and Development (OECD), 2009. Patents in environment-related technologies. in: OECD Science, Technology and Industry Scoreboard 2009. OECD Publishing, Paris. http://dx.doi.org/10.1787/sti_scoreboard-2009-18-en.

Sun, Y., Lu, Y., Wang, T., Ma, H., He, G., 2008. Pattern of patent-based environmental technology innovation in China. Technol. Forecasting Soc. Change 75 (7), 1032-1042.

UNCTAD, 2018. Technology and innovation report 2018: Harnessing Frontier Technologies for Sustainable Development. United Nations Publication. Geneva.

Wang, B., Wang, Q., Wei, Y.M., Li, Z.P. (2018) Role of renewable energy in China’s energy security and climate change mitigation: An index decomposition analysis. Renewable and Sustainable Energy Reviews. 90, pp. 187-194.