CIRCULAR ECONOMY DEVELOPMENT PHASE RESEARCH BASED ON THE IPAT EQUATION: THE CASE OF SHAANXI

Fang Ying ^a and Zhao Wen-ping ^b

^b School of Economics and Management, Xidian University, Xi’an, Shaanxi, China

In recent years, the worsening of the quality of the air has urged more people to attach great importance to circular economy. Shaanxi, abundant in natural resources, maintained the GDP growth rate of 14.9% during the period of the twelfth five-year plan. However, the fast economic growth under the extensive traditional economic growth mode renders Shaanxi inadequate in resources supply and noticeably worse in ecological environment issues. With the method of the IPAT equation, this paper quantitatively analyzes the developmental stage and the developmental level of the circular economy of Shaanxi to cover the shortage of the previous studies having only been focused on the policy study and the practice mode. The result shows that Shaanxi is in the intermediate stage of circular economy and the advanced stage has an apparent advantage over the intermediate one by comparing their energy consumption and solid pollutant discharge. The development experience of Shaanxi, a typical province of China, has guidance and reference significance to China and other developing countries.

Keywords: circular economy, IPAT equation, burden on the environment, stage of development, level of development

JEL Classification: Q56, Q57