Globalization–Emissions Nexus: Testing the EKC Hypothesis in Next-11 Countries

This study investigates the association between globalization and carbon emissions for Next-11 (N-11) countries. In doing so, we apply bounds testing approach to examine cointegration between globalization and carbon dioxide (CO2) emissions. The results confirm the U-shaped association between globalization and carbon emissions for Bangladesh, Iran and South Korea. Contrarily, traditional approach validates an inverted U relationship between globalization and carbon emissions for Pakistan and South Korea, but U-shaped relationship exists for the Philippines and Vietnam. The presence or absence of an inverted U relationship between globalization and carbon emissions has important policy implications using globalization as an economic tool for sustainable economic development.

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The carbon dioxide emissions effect of income growth, electricity consumption and electricity power crisis

Management of Environmental Quality An International Journal ◽

10.1108/meq-11-2020-0264 ◽

2021 ◽

Vol ahead-of-print (ahead-of-print) ◽

Author(s):

Paul Adjei Kwakwa

Keyword(s):

Carbon Dioxide ◽

Carbon Emissions ◽

Growth And Development ◽

Electricity Consumption ◽

Policy Implications ◽

Income Growth ◽

Series Data ◽

Ekc Hypothesis ◽

Content Type ◽

Electricity Power

PurposeAttaining higher economic growth and development is among the topmost agenda for many countries. However, the process to attain such growth and development involves higher level of energy consumption and that may not spare the quality of the environment. A similar concern has been raised for Ghana as it aims to attain an upper middle-income status in the near future. The country's energy sector has however not been robust in meeting the electricity demand, leading to a recurrent power crisis. The study seeks to analyze the effect of income growth, electricity consumption and power crisis on Ghana's carbon dioxide (CO2) emissions.Design/methodology/approachThe paper relies on annual time series data from the World Bank (2020) and employs the autoregressive distributed lag (ARDL) and fully modified ordinary least square (FMOLS) estimation techniques for regression analysis.FindingsThe results showed that the environmental Kuznets curve (EKC) hypothesis is valid for Ghana in the case of carbon emissions. Also, while electricity consumption has an insignificant effect on carbon emissions, electricity power crisis exerts a positive effect on emission of CO2. It was also noted that industrialization and financial development increase CO2 emissions.Research limitations/implicationsPolicy implications from the study include the EKC hypothesis can be a sound basis for environmental policy in Ghana. Other recommendations and areas for future research have been provided.Originality/valueThe study empirically estimates the effect of electricity crisis on CO2 emissions.

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Energy, Trade, Urbanization and Environmental Degradation Nexus in Sri Lanka: Bounds Testing Approach

Energies ◽

10.3390/en12091655 ◽

2019 ◽

Vol 12 (9) ◽

pp. 1655 ◽

Cited By ~ 10

Author(s):

Gasimli ◽

Haq ◽

Gamage ◽

Shihadeh ◽

Rajapakshe ◽

...

Keyword(s):

Energy Consumption ◽

Sri Lanka ◽

Carbon Emissions ◽

Structural Break ◽

Trade Openness ◽

Bounds Testing ◽

Energy Trade ◽

Bounds Testing Approach ◽

Testing Approach

This study examines the nexus between energy, trade, urbanization and environmental degradation in Sri Lanka. The time series data has been checked for unit root problem along with unknown structural break. The bounds testing approach confirms the long-term relationship among carbon emissions, energy consumption, income, trade openness, and urbanization in the presence of structural break. The results of the study do not confirm the presence of the EKC (Environmental Kuznets Curve) hypothesis in Sri Lanka. This study finds that energy consumption leads to carbon emissions in both the long term and the short term. Trade openness is degrading environmental quality, as trade is responsible for the accumulation of carbon emissions in the atmosphere. The results of the study confirm that urbanization has been found to have significant and negative effect on carbon emissions. The study finds that the model is in equilibrium and the model will return to equilibrium from any external shock in less than two years. Policy measures are recommended for sustainable environment of the island.

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The Impact of Exchange Rate Volatility on Exports in Vietnam: A Bounds Testing Approach

Journal of Risk and Financial Management ◽

10.3390/jrfm12010006 ◽

2019 ◽

Vol 12 (1) ◽

pp. 6 ◽

Cited By ~ 3

Author(s):

Vinh Nguyen Thi Thuy ◽

Duong Trinh Thi Thuy

Keyword(s):

Exchange Rate ◽

Exchange Rate Volatility ◽

Policy Implications ◽

Bounds Testing ◽

Rate System ◽

Long Run ◽

Export Volume ◽

Bounds Testing Approach ◽

Testing Approach ◽

The Impact

This paper investigates the impact of exchange rate volatility on exports in Vietnam using quarterly data from the first quarter of 2000 to the fourth quarter of 2014. The paper applies the autoregressive distributed lag (ARDL) bounds testing approach to the analysis of level relationships between effective exchange rate volatility and exports. Using the demand function of exports, the paper also considers the effect of depreciation and foreign income on exports of Vietnam. The results show that exchange rate volatility negatively affects the export volume in the long run, as expected. A depreciation of the domestic currency affects exports negatively in the short run, but positively in the long run, consistent with the J curve effect. Surprisingly, an increase in the real income of a foreign country actually decreases Vietnamese export volume. These findings suggest some policy implications in managing the exchange rate system and promoting exports of Vietnam.

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