Environment Improvement Policy is the Means to Promote Economy Development

The paper sets the Hamiltonian optimization model with emission tax policy and emission abatement investment policy being endogenous. After mathematical analysis, we find that along BGP the contributions of positive growth rate of “clean” human capital and technological advances are big enough to offset the negative effect of the decreasing growth rate of pollution natural resources through the incentives and guidance of environmental policy and occurs “double-win" performance of environment improvement and economy growth under low carbon economy, which is called as inner mechanism. According to numerical simulation, we design 2 BGP to achieve a 40-50% reduction of China\´s pollution emission compared with 2009.