Higher wages in China increase consumer demand but have a limited effect on energy use

In the International Energy Outlook 2021 (IEO2021), Issues in Focus: Changes in Composition of Economic Growth in China, we compared the IEO2021 Reference case with the Higher China Wages case—a case in which we assumed that a smaller working-age population will result in a faster increase in wages through 2050. We compared these cases to better understand the potential economic outcomes in China and the associated energy use in each case.

Full article at eia.gov