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In recent years, there has been an increased focus on carbon sink plantation projects. Carbon sink plantations can slow global climate change and promote sustainable economic development, which is well suited to the needs of both ecological protection and economic growth. This article aims to accurately assess the causal effect of carbon sink plantation projects on economic development at the county level and explore its effect mechanisms. In this study, 56 counties in Guangdong Province were selected as the research areas, providing balanced panel data from 2006 to 2018. Then the propensity score matching and difference-in-differences (PSM-DID) model was used to estimate both the average and dynamic effects of carbon sink plantation projects on county-level economic development. The ordinary least squares (OLS) multiple regression results of the single-difference method and difference-in-differences (DID) model show that carbon sink plantation projects have a significant role in promoting county-level economic development. In addition, our findings suggest that the economic benefits of carbon sink plantation projects began to gradually appear from the sixth year after the projects were implemented.

The Effect of Carbon Sink Plantation Projects on Local Economic Growth: An Empirical Analysis of County-Level Panel Data from Guangdong Province