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• Knowledge and technologies produced in Chinese cities has increasingly taken a greater share of total output of global cities. • The quality of this output has increased over time Chinese cities improve the quality of their knowledge output before increasing the quality of technology. • Only Beijing, Shanghai & Shenzhen compete globally in terms of quality of output – other Chinese cities do not. • This can be a mechanism for increasing regional inequality within China. Are Chinese cities becoming smarter in terms of the knowledge and technologies they produce? For decades, the widely held believe in the global North is that China merely copies, imitates and only incrementally improves ideas. Recently, this believe is increasingly being challenged. In this paper I quantify this process. Using data from about 6,1 million patents and 60 million academic publications I examine the complexity of technologies and knowledge developed in major Chinese cities and compare these to those produced in other global cities. The results show that (1) knowledge and technologies produced in Chinese cities has increasingly taken a greater share of total output of global cities; (2) the quality of this output has increased over time; (3) Chinese cities improve the quality of their knowledge output before increasing the quality of technology; and (4) only Beijing, Shanghai and Shenzhen compete with other global cities in terms of the quality of output, suggesting emerging regional inequality within China linked to knowledge and technology production. Not only is the size of the Chinese economy increasing, so is the quantity and quality of its knowledge and technology output. [ABSTRACT FROM AUTHOR]

Carbon prices are low and fluctuate greatly since Chinese carbon emissions trading scheme pilots were operated. This paper discusses the price drivers in the pilots, using structural breaks test and autoregressive distributed lag model. The results indicate that oversupply of allowances, low auction prices and use of China certified emission reductions will cause remarkable decline on carbon prices; the expansion of carbon market and centralized trading will rise carbon prices. Oil prices are positively correlated with carbon prices, and coal prices are negatively related with carbon prices. Carbon-intensive product prices also affect carbon prices. Chemical prices are positively linked with carbon prices in Shenzhen, while negatively related with those in Beijing and Shanghai, for differences in sectoral coverage. Nonferrous prices have positive impacts on carbon prices in Beijing but negative impacts on those in Shenzhen, for differences in industrial structure. Financial markets and weather have limited impacts on carbon prices. Our results provide policy implications for the development of pilots and the national carbon market. [ABSTRACT FROM AUTHOR]