| Article ID: | iaor20115960 |
| Volume: | 39 |
| Issue: | 7 |
| Start Page Number: | 4134 |
| End Page Number: | 4143 |
| Publication Date: | Jul 2011 |
| Journal: | Energy Policy |
| Authors: | Liu Wei, Li Hong |
| Keywords: | economics |
• This paper estimates the scale of fossil energy subsidies of China in 2007 with price‐gap approach. • We establish a Social Accounting Matrix and a CGE model extended with pollutant accounts. • We simulate the impacts of removing or cutting subsidies under three different scenarios. • We discuss the possibility and potential of improving energy consumption structure.