Abstract:Carbon emissions trading policy is a major policy innovation tool to cope with climate warming as well as to realize low-carbon development. Using provincial panel data from 2000-2019, the article constructs a quasi-natural experiment with the operation of carbon emissions trading pilot policy, and adopts the synthetic difference in differences method to assess the policy effect. The article explores the mechanism of the policy's emission reduction effect from the dual perspectives of digital economy and local government attention, and further assesses the spatial spillover effect of carbon reduction and emission reduction. The study finds that the implementation of the policy significantly promotes regional carbon emission reduction, and the development of the digital economy and the enhancement of the local government attention can promote the carbon reduction and emission reduction effect of the policy. The digital economy and local government attention positively regulate the carbon emission reduction effect of the other side. In the spatial perspective, the enhancement of the development status of the digital economy will, to a certain extent, weaken the abatement effect of the policy on neighboring places. Therefore, the government-led environmental regulation and governance system should be improved, while promoting the sustained and benign development of the digital economy and strengthening the attention of local governments to realize the quality enhancement and upgrading of regional carbon emission reduction. The article provides a useful supplement to the theoretical analysis of the assessment of the emission reduction effect of the carbon emissions trading policy, which provides a favorable basis for the promotion of the policy.