Research on the risk spillover effect between China's national carbon emissions trading market and crude oil futures market.

ABSTRACT: The development of China's National Carbon Market has strengthened the inherent link between the carbon market and the broader energy market, providing a potential for cross-market risk transmission resonance. Studying the risk spillover effects between China's National Carbon Market and the crude oil futures market is of significant practical importance, both in terms of carbon market development and carbon risk management. Based on the Maximal Overlap Discrete Wavelet Transform (MODWT), the price series are decomposed across multiple scales, and the risk spillover effects between the carbon market and the crude oil futures market are examined from both the time domain and the frequency domain. Methods such as wavelet energy decomposition, wavelet correlation, lead-lag analysis, and wavel

SUBMITTER: Bai X 

PROVIDER: S-EPMC11695036 | biostudies-literature | 2025

REPOSITORIES: biostudies-literature