scholarly journals Analysis of carbon dioxide emissions, energy consumption, and economic growth in China

2020 ◽  
Vol 66 (No. 4) ◽  
pp. 183-192 ◽  
Author(s):  
Abrham Tezera Gessesse ◽  
Ge He

This study examines the nexus of carbon dioxide (CO2) emissions, energy consumption (EC) and gross domestic products (GDP), using an Autoregressive Distributed Lag (ARDL) bounds test approach of co-integration and error-correction model (ECM) for the period 1971–2015. The aim of the research is to i) examine the relationship between CO2 and GDP as “cross-coupling, relative decoupling, or absolute decoupling,” and validate the existence of the Environmental Kuznets Curve (EKC) hypothesis; ii) detect causality between CO2 emissions, EC, and GDP, and scrutinize their impacts. The ARDL results confirm a long-run and short-run co-integration relationship between the variables. The relationship between CO2 emissions and GDP is “relatively decoupling,” and the EKC exists in China. Its CO2 emissions are more explained by EC and contribute twofold of GDP. In the long run, there was significant negative causality from CO2 emission and GDP to EC. This indicates Chinese economic development structure should be re-designed towards energy-saving and decarbonized economic structure. Moreover, the central and provincial governments of China should synchronize optimal energy utilization and green economic structure to mitigate environmental deterioration and climate change.

Energies ◽  
2021 ◽  
Vol 14 (11) ◽  
pp. 3144
Author(s):  
Anh-Tu Nguyen ◽  
Shih-Hao Lu ◽  
Phuc Thanh Thien Nguyen

This paper examines the environmental Kuznets curve (EKC) in Vietnam between 1977 and 2019. Using the autoregressive distributed lag (ARDL) approach, we find an inverted N-shaped relation between economic growth and carbon dioxide emissions in both the long- and short-run. The econometric results also reveal that energy consumption and urbanization statistically positively impact pollution. The long-run Granger causality test shows a unidirectional causality from energy consumption and economic growth to pollution while there is no causal relationship between energy consumption and economic growth. These suggest some crucial policies for curtailing emissions without harming economic development. In the second step, we also employed the back-propagation neural networks (BPN) to compare the work of econometrics in carbon dioxide emissions forecasting. A 5-4-1 multi-layer perceptron with BPN and learning rate was set at 0.1, which outperforms the ARDL’s outputs. Our findings suggest the potential application of machine learning to notably improve the econometric method’s forecasting results in the literature.


2021 ◽  
Vol 21 (2) ◽  
pp. 132-147
Author(s):  
Mohammed Touitou

Abstract Research background: CO2 emissions are considered to be the main reason for global warming, and for this reason, their regulation is a very important issue for governments. Due to the increasing use of energy, carbon dioxide emissions have increased dramatically over the past century, with a direct link to economic growth and development. The relationship between CO2 emissions, growth and energy consumption is therefore at the heart of current economic issues. Purpose: This study aimed at examining the relationship among economic growth, carbon dioxide (CO2) emissions and energy consumption in selected MENA countries, in the period 1995–2017. Research methodology: To prove these relations, a stationary data panel methodology is used supported by unitary root and cointegration tests. Results: The results indicated that there is a long-term relationship between CO2 emissions, energy consumption and GDP. In addition, it is found that the elasticity of CO2 emissions with respect to energy consumption is less than one (inelastic), and the elasticity of CO2 emissions with respect to GDP suggests the existence of an Environmental Kuznets Curve. An important finding is that energy consumption has a positive but relatively low effect on CO2 emissions. To reduce CO2 emissions, the countries of the MENA region are being called upon to increase significantly the use of renewable energies and the establishment of a more efficient energy policy.


2021 ◽  
Vol 14 (3) ◽  
pp. 93
Author(s):  
Jihuan Zhang

China is the largest CO2 emitter in the world, and it shared 28% of the global CO2 emissions in 2017. According to the Paris Agreement, it is estimated that China’s CO2 emissions will reach its peak by 2030. However, whether or not the CO2 emissions in China will rise again from its peak is still unknown. If the emission level continues to increase, the Chinese policymakers might have to introduce a severe CO2 reduction policy. The aim of this paper is to conduct an empirical analysis on the long-standing relationship between CO2 emissions and income while controlling energy consumption, trade openness, and urbanization. The autoregressive distributed lag (ARDL) model and the bounds test were adopted in evaluating the validity of the Environmental Kuznets Curve (EKC) hypothesis. The quantile regression was also used as an inference approach. The study reveals two major findings: first, instead of the conventional U-shaped EKC hypothesis, there is the N-shaped relationship between CO2 emissions and real gross domestic product (GDP) per capita in the long run. Second, a positive effect of energy consumption and a negative effect of urbanization on CO2 emissions, in the long run, are also estimated. Quantitatively, if energy consumption rises by 1%, then CO2 emissions will increase by 0.9% in the long run. Therefore, the findings suggest that a breakthrough, in terms of policymaking and energy innovation under China’s specific socioeconomic and political circumstances, are required for future decades.


2020 ◽  
Vol 10 (2) ◽  
pp. 194
Author(s):  
Wan-Lin Yong ◽  
Jerome Kueh ◽  
Yong Sze Wei ◽  
Jang-Haw Tiang

This paper intends to investigate the nexus between energy consumption, carbon dioxide emission, total export and economic growth of China from 1971 to 2014. This study adopted Autoregressive Distributed Lag (ARDL) bounds test to examine the existence of short-run and long-run relationships among the variables. Empirical findings indicated that energy consumption contribute to economic growth while carbon dioxide emission is impeding the growth. There is a positive long-run relationship between both energy consumption and total export with economic growth of China. However, a negative relationship is observed between carbon dioxide emissions and economic growth. Hence, in terms of policy recommendation, policymakers can implement a balance environment-economic policy; reduce the carbon dioxide emission by imposing carbon tax; promote renewable energy among the industries and households and promoting reserves forest policy is needed for aspiration of sustainable growth for both environmental and economic.


2021 ◽  
Vol 2021 (68) ◽  
pp. 42-58
Author(s):  
Essa Alhannom ◽  
Ghaleb Mushabab

Abstract This study investigates the validity of the Environmental Kuznets Curve hypothesis in Yemen and the causal relationships between Carbon dioxide emissions, per capita income, energy consumption, trade openness, and industrial share to GDP. ARDL bounds testing approach to cointegration, Error Correction Model, and Toda-Yamamoto procedure to Granger causality techniques were employed on annual data covering the period from 1990 to 2010. long run relationship between CO2 emissions and its determinants with significant effects for per capita GDP and trade openness, whereas, energy consumption and trade openness appear to be important determinants of CO2 emissions in the short run. Besides, based on Narayan and Narayan (2010) approach, it is found that the EKC hypothesis does not hold in Yemen and therefore the effect of per capita income on CO2 emissions is monotonically increasing. Toda-Yamamoto causality test proved the existence of bidirectional causal relationships between economic growth and CO2 emissions, between energy consumption and economic growth, and between trade openness and energy consumption


2018 ◽  
Vol 17 (2) ◽  
pp. 183-207 ◽  
Author(s):  
Sudeshna Ghosh

This article utilises the vector error correction model (VECM) and Granger causality tests to explore short-run and long-run relationships, in India, across carbon dioxide (CO2) emissions, energy consumption, agriculture value added (AV), trade liberalisation and financial development over the time period 1971–2013. The study adopts the autoregressive distributed lag (ARDL)-bound testing approach and Johansen–Juselius maximum likelihood procedure to find out the cointegrating relation among the variables. Both ARDL approach and Johansen–Juselius cointegration approach show that the concerned variables under study are cointegrated. Short-run Granger causality results indicate the existence of bidirectional causality between AV and CO2 emissions, and energy used and CO2 emissions. In the long-run trade, financial development, energy consumption and AV affect CO2 emissions. The results put thrust on the need to utilise energy-efficient technologies in agriculture to save the damage of the environment. JEL: C32, O53, Q43


2018 ◽  
Vol 7 (2) ◽  
Author(s):  
Matheus Da Costa Koengkan ◽  
José Alberto Fuinhas

The impact of renewable energy consumption on the carbon dioxide emissions was analyzed for a panel of ten South American countries in a period from 1980 to 2012. The Autoregressive Distributed Lag Methodology was used in order to decompose the total effect of renewable energy consumption on the carbon dioxide emissions in its short- and long-run components. The results indicate that the consumption of renewable energy reduce the carbon dioxide emissions in -0.0420 % when the consumption of alternative sources increases in 1% in short-run. The empirical evidence shows that the renewable consumption plays an important role in reducing CO2 emissions and that the economic growth and energy consumption in the South American countries are still based on fossil fuels.  Keywords: Environmental, Energy economics, Econometric.


2021 ◽  
Author(s):  
Alper Aslan ◽  
BUKET ALTINOZ ◽  
BAKİ OZSOLAK

Abstract This study investigates the relationship between urbanization and air pollution in Turkey. Dynamic ARDL method was used for the period 1960–2014. According to the findings, there is a positive and statistically significant relationship between long-term urbanization and Co2. If urbanization increased by 1%, carbon emissions increased by 0.02%. There is a similar relationship between the shocks that will occur in population growth and Co2 emission in the long term. However, there is a negative and statistically insignificant relationship between the two variables. In the relationship between GDP and Co2, there is a positive relationship in the long term. GDP increase of 1% increases Co2 emissions by 0.11%. There is a similar relationship between long-term GDP shocks and Co2 emissions. According to short-term analysis results, energy consumption increases Co2 emissions by the same rate as GDP. However, the astonishing result of the study emerges here. Empirical results show that a long-term positive shock in energy consumption reduces CO2 emissions and a negative shock increases pollution. According to these results, Turkey has not reached the point of sustainable growth. For this reason, this developing country needs to make regulatory implementations and determine future policies for these impacts affecting air pollution.


2014 ◽  
Vol 53 (4II) ◽  
pp. 383-401 ◽  
Author(s):  
Muhammad Tariq Mahmood ◽  
Sadaf Shahab

It is now an established fact that the most important environmental problem of our era is global warming.1 The rising quantity of worldwide carbon dioxide (CO2) emissions seems to be escalating this problem. As the emissions generally result from consumption of fossil fuels, decreasing energy spending seems to be the direct way of handling the emissions problem. However, because of the possible negative impacts on economic growth, cutting the energy utilisation is likely to be the “less preferred road”. Moreover, if the Environmental Kuznets Curve (EKC) hypothesis applies to the emissions and income link, economic growth by itself may become a solution to the problem of environmental degradation [Rothman and de Bruyn (1998)]. Coondoo and Dinda (2002), however, argue that both developing and developed economies must sacrifice economic growth. Still, countries may opt for different policies to fight global environmental problems, mainly depending on the type of relationship between CO2 emissions, income, and energy consumption over the long run [Soytas and Sari (2006)]. Hence, the emissions-energy-income nexus needs to be studied carefully and in detail for every economy, but more so for the developing countries. In this paper, we investigate the relationship between energy consumption, CO2 emissions and the economy in Pakistan from a long run perspective, in a multivariate framework controlling for gross fixed capital, labour and exports by employing ARDL bounds testing approach.


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