The Relationship between LNG Price, LNG Revenue, Non-LNG Revenue and Government Spending in China： An Empirical Analysis Based on the ARDL and SVAR Model

In terms of research subjects, most scholars both domestic and foreign conduct their studies based on the international energy framework, and most of them use international natural gas price fluctuations to explore its impact on China's macro economy, but it has not been seen that any scholars separately study the transmission mechanism and effect of natural gas price fluctuations on Chinese government spending. In terms of data selection, since China has only started to import liquefied natural gas (LNG) since 2006, this paper selects monthly data on the variables of LNG prices (total weighted average terminal price), LNG operating revenue, non-LNG operating revenue (operating revenue from industries other than natural gas), and government spending in China from January 2007 to March 2021, and uses the ARDL and SVAR models to examine the relationship between LNG prices and revenue, non-LNG revenue, and government spending in China.