Abstract The empirical study on the dynamic fluctuation effect between Chinese urbanization process and energy demand by means of impulse response function of VAR and SVAR models as well as variance decomposition technology indicates that: i) in the short term, both Per capital GDP and urbanization level promote the increase of energy demand; ii)in mediumandlongterm, promotion of urbanization level has greater impact on energy demand than the influence of per capita GDP. Moreover, the request for energy owing to promotion of urbanization level shows the intensive and sparing effect. It argues that when formulating and adjusting the strategy and decisions on energy supply in the urbanization process, we should consider the expansion on energy consumption of Chinese urbanization process, uncontrollable urbanization process, low lever energy demand per capita and basic situation when selecting different types of strategy for energy supply and demand in order to achieve balance between energy supply and demand.
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