Correlation between Income Disparity and CO2 Emissions from Household Consumption

Domestic and foreign scholars have investigated the correlation between income disparity and carbon emissions, but have not reached a consensus. To explore the correlation between income and income disparity with CO2 emissions from household consumption, the CO2 emissions from household consumption of 30 provinces(or municipalities, or autonomous regions) in China were calculated and the correlation was analyzed using Gini coefficient, Concentration index, Kakwani index and the Theil index. From 2002 to 2012, China's household income increased, the income disparity decreased, but the carbon emissions of residents increased. Income and household consumption carbon emissions showed nonlinear positive correlation. And in provinces with different income groups, carbon emission inequality showed distinct trends when income groups changed. From the perspective of the whole country, the income gap was negatively correlated with the carbon emissions of household consumption, but from the perspective of each income group, the relationship between them was uncertain. It was hard to achieve the win-win situation of increasing residents' income and decreasing income disparity so as to promote the reduction of indirect carbon emissions per capita. It is suggested that the government formulate energy conservation and emissions reduction policies based on income differentiation, and advocate initiative emissions reduction of low-carbon life. In addition, supply-side reform and technological innovation should be promoted to reduce indirect carbon emissions.