scholarly journals Investigation of The Driving Factors of Ecological Footprint in Malaysia

2022 ◽  
Author(s):  
Demet Beton Kalmaz ◽  
Abraham Ayobamiji Awosusi
Keyword(s):  
Economic Growth ◽  
Renewable Energy ◽  
Unit Root ◽  
Capital Investment ◽  
Ecological Footprint ◽  
Structural Break ◽  
Oil Consumption ◽  
Renewable Energy Consumption ◽  
Domestic Capital ◽  
Ardl Approach

Abstract Malaysia’s growing trends in energy production related emissions throw doubt on the country's possibility of meeting the Paris Climate Change Agreement and SDG obligations. Taking into account Malaysia’s current growth pattern and climatic circumstances, this study evaluates the association between ecological footprint and its potential determinants: economic growth, oil consumption, renewable energy and domestic capital investment for the period between 1965 and 2017. The stationary nature of the parameters is investigated using the conventional unit root approach (ADF and PP unit root) and structural break unit root (ZA unit root). The bounds approach in combination with the critical approximation p-values of Kripfganz and Schneider (2018) established a cointegration association between the observed parameters. The ARDL approach uncovered that economic growth and oil consumption contribute to ecological footprint. Furthermore, renewable energy consumption and gross capital formation reduce the ecological footprint. The FMOLS and DOLS estimators were applied as the sensitivity analysis of the ARDL estimators. Furthermore, the spectral BC causality approach was also utilized to investigate the causal association between ecological footprint and its determinants.

Effects of renewable energy consumption and trade on environmental pollution

2019 ◽  
Vol 30 (2) ◽  
pp. 437-455 ◽  
Author(s):  
Alper Karasoy ◽  
Selçuk Akçay
Keyword(s):  
Carbon Dioxide ◽  
Renewable Energy ◽  
Energy Consumption ◽  
Environmental Pollution ◽  
Unit Root ◽  
Carbon Dioxide Emissions ◽  
Structural Break ◽  
Renewable Energy Consumption ◽  
Content Type ◽  
Long Run

PurposeThe purpose of this paper is to examine the impacts of (non-renewable and renewable) energy consumption and trade on environmental pollution in an environmental Kuznets curve (EKC) setting in Turkey for the 1965–2016 period.Design/methodology/approachBesides conventionally used unit root tests, Zivot–Andrews unit-root test is also employed to account for a possible structural break. To investigate the interrelationships among the variables, the autoregressive distributed lag and the vector error correction methodologies are employed.FindingsThe results verify the EKC hypothesis. Moreover, increases in trade and non-renewable energy consumption rise carbon emissions in long run, while renewable energy consumption reduces it in both short- and long-run. The causality analysis reveals that there are bi-directional long-run causalities between non-renewable energy consumption and carbon dioxide emissions, and between trade and carbon dioxide emissions. Additionally, the neutrality hypothesis is valid for the renewable energy consumption-income nexus in both short- and long-run. For the non-renewable energy consumption-income nexus, the neutrality hypothesis holds only in short-run and the conservation hypothesis holds only in long-run.Originality/valueThis is the first study which incorporates both renewable energy consumption and trade into its environmental pollution model for Turkey. Moreover, by investigating short- and long-run causalities among the employed variables, more robust policy implications are put forward. Lastly, this study employs a longer sample period and considers a structural break in its models.

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