Understanding Household Consumption and Environmental Quality in China : A Study of Industrial Waste and Dust Emissions Using Engel Curves

Manufacturing activities are associated with environmental issues, including industrial waste and dust. Recent comprehensive policies in China have effectively reduced the emissions of some atmospheric pollutants, such as SO2, NOx, CO, PM10, and VOC.However, this does not apply to industrial waste and dust, which have become concerns in Chinese metropolitan areas. This study examines the contribution of household consumption decisions in generating industrial waste and dust emissions. We use environmental Engel curves to investigate this relationship temporal dimension. Our results suggest that, over time, Chinese households are responsible for lower industrial waste and dust emissions, which is primarily attributable to changes in the relative supply and demand of pollution-intensive goods. This effect represents a shift in the Engel curve, accounting for 76% of the decline in the industrial waste and dust emissions embedded in the consumption of goods in China