scholarly journals Environmental Kuznets Curve for the Informal Sector of Turkey (1950-2009)

2014 ◽  
Vol 61 (4) ◽  
pp. 471-485 ◽  
Author(s):  
Ceyhun Elgin ◽  
Oğuz Öztunalı
Keyword(s):  
Environmental Pollution ◽  
Informal Sector ◽  
Global Economy ◽  
Energy Use ◽  
Shadow Economy ◽  
Empirical Relationship ◽  
Weather Conditions ◽  
Kuznets Curve ◽  
Annual Data ◽  
Long Run

In this study we investigate the empirical relationship between the size of the informal sector (as percentage of official GDP), carbon dioxide and sulfur dioxide emissions in Turkey by using annual data from 1950 to 2009 and conducting a time-series analysis using cointegration techniques. This analysis is crucial as pollution emissions may lead to unfavorable weather conditions and potentially cause environmental impacts that may adversely affect the global economy. The empirical analysis shows evidence towards the existence of an inverted-U relationship between relative informal sector size and environmental pollution indicators in the long-run. That is small and large sizes of the shadow economy are associated with little environmental pollution and medium levels of the size of the shadow economy are associated with higher levels of environmental pollution. Moreover, using multivariate cointegration techniques, we suggest and test an economic mechanism to account for this observation. This also helps us to prescribe various policy recommendations regarding pollution and energy use.

Has the low level of economic growth spurred informal sector activities in Uganda? An empirical analysis

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Stephen Esaku
Keyword(s):  
Economic Growth ◽  
Informal Sector ◽  
Shadow Economy ◽  
Time Series Data ◽  
Series Data ◽  
Content Type ◽  
Low Level ◽  
Revenue Collection ◽  
Long Run ◽  
Short Run

PurposeIn this paper, the authors examine how economic growth shapes the shadow economy in the long and short run.Design/methodology/approachUsing annual time series data from Uganda, drawn from various data sources, covering the period from 1991 to 2017, the authors apply the ARDL modeling approach to cointegration.FindingsThis paper finds that an increase in economic growth significantly reduces the size of the shadow economy, in both the long and short run, all else equal. However, the long-run relationship between the shadow economy and growth is non-linear. The results suggest that the rise of the shadow economy could partially be attributed to the slow and sluggish rate of economic growth.Practical implicationsThese findings imply that addressing informality requires addressing underlying factors of underdevelopment since improvements in economic growth also translate into a reduction in the size of the shadow economy in the short and long run.Originality/valueThese findings reveal that the low level of economic growth is an issue because it spurs informal sector activities in the short run. However, as the economy improves, it becomes an incentive for individuals to operate in the informal sector. Additionally, tackling shadow activities in the short run could help improve tax revenue collection.

scholarly journals INTERACTION BETWEEN ENERGY CONSUMPTION AND ECONOMIC GROWTH IN INDIA

2017 ◽  
Vol 5 (4) ◽  
pp. 62-71 ◽  
Author(s):  
Nandakumar ◽  
Devasia ◽  
Thomachan
Keyword(s):  
Economic Growth ◽  
Energy Consumption ◽  
World Bank ◽  
Energy Use ◽  
Annual Data ◽  
Sample Period ◽  
Development Indicators ◽  
Long Run ◽  
World Development

This Paper examines the relation between energy use and GDP percapita of India. It used the annual data from 1971-2013, obtained from World Development Indicators of World Bank for India. The variables used in this study are – Percapita GDP and Energy consumption in Kilograms of oil equivalent (Kgoe). The result shows long run relation between energy use and GDP percapita. The result also shows that Energy Use granger causes GDP percapita of India for the sample period.

scholarly journals Revisiting Environmental Kuznets Curve in Relation to Economic Development and Energy Carbon Emission Efficiency: Evidence from Suzhou, China

Energies ◽  
2021 ◽  
Vol 15 (1) ◽  
pp. 62
Author(s):  
Ming Wen ◽  
Mingxing Li ◽  
Naila Erum ◽  
Abid Hussain ◽  
Haoyang Xie ◽  
...  
Keyword(s):  
Economic Development ◽  
Carbon Emissions ◽  
Environmental Kuznets Curve ◽  
Carbon Emission ◽  
Energy Use ◽  
Trade Openness ◽  
Positive Sign ◽  
Kuznets Curve ◽  
Total Energy Consumption ◽  
Long Run

This study empirically examines the effect of economic development on carbon emissions and revisits the environmental Kuznets curve in Suzhou, China. The study made use of the Gross Domestic Product Per Capita (GDPPC) of Suzhou, China as an indicator of economic development as it depicts the entire developmental ecosystem that indicates the level of production activities and total energy consumption. Bearing this in mind, the authors postulate that economic development directly increases carbon emissions through industrial and domestic consumptions. For this purpose, linear and non-linear approaches to cointegration are applied. The study finds the existence of an inverted U-shape relationship between economic development and carbon emission in the long run. Trade openness and industrial share are positively contributing to increasing carbon emissions. Energy use shows a positive sign but an insignificant association with carbon emissions. The study concludes that carbon emissions in Suzhou should be further decreased followed by policy recommendations.

scholarly journals Implication of Coal Expansion and Regional Energy Trading Center to Climate Goal: Dual Sustainability Analysis

2021 ◽  
Author(s):  
Edmund Ntom Udemba
Keyword(s):  
Economic Growth ◽  
Economic Performance ◽  
Environmental Sustainability ◽  
Ecological Footprint ◽  
Energy Use ◽  
Kuznets Curve ◽  
Per Capita Gdp ◽  
Long Run ◽  
Short Run ◽  
Per Capita

Abstract This current study seeks to investigate the policy implication of Turkey’s recent energy policies on its sustainable development. This study uses Turkey’s country-specific data and series of 1974 to 2018 for effective investigation and justification of the findings of this study with emphasis on both short run and long run implications. Three models were fitted to achieve study objectives to accommodate both environmental sustainability and economic impacts. Ecological footprint was considered better measure and used as proxy for the environment related model. In summary, with environment models, the selected series (per capita GDP, Industrialization, agriculture, coal as a single energy use and mixed energy use) except per capita GDP2 were found positively and significantly related to ecological footprint both in short run and long run which translates to poor performance of Turkey’s environment. Also, using economic growth model, the selected series (Industrialization, energy use and agriculture) were all confirmed positively and significantly related to the economic growth (per capita GDP). Additionally, Environmental Kuznets Curve (EKC) was established for Turkey’s environment and economic performance. Furthermore, using Granger causality as robust check to these findings, a nexus was found among the series confirming the validity of the cointegration (short and long run policies) estimations and results. In congruence with literature and hypotheses, the results from cointegration estimation shows that the twin polices may be good to the economic performance but will spark off adverse effect on environment.JEL Classification: C1, C32, E6, L7, O4, Q3, Q4, Q5

The Impact of Trade Openness on Environmental Pollution

2015 ◽  
pp. 221-232 ◽  
Author(s):  
Murat Cetin ◽  
Fahri Seker ◽  
Hakan Cavlak
Keyword(s):  
Carbon Dioxide ◽  
Environmental Pollution ◽  
Carbon Dioxide Emissions ◽  
Trade Openness ◽  
Kuznets Curve ◽  
Industrialized Countries ◽  
Newly Industrialized Countries ◽  
Long Run ◽  
Causality Tests ◽  
The Impact

This chapter analyzes the impact of trade openness on environmental pollution in the newly industrialized countries that have focused on trade over the period 1971-2010 by using recently developed panel unit root, cointegration, and causality tests. The results indicate a cointegration relationship between the variables. The results also show that trade openness increases carbon dioxide emissions with the elasticity of 0.53 and there is a Granger causality running from trade openness to carbon dioxide emissions in the long run. These findings may provide some policy implications. Without taking into account impact of trade on pollutions, optimistic environmental Kuznets curve hypothesis would be invalid. Therefore, policymakers who decide on environment policies should pay attention to not only growth effects but also trade effects on pollutions. Future empirical analysis would expose the new evidences for governmental policies and environmental regulations to change these effects positively.

scholarly journals Financial development and CO2 discharge in Nigeria

2021 ◽  
Vol 3 (3) ◽  
pp. 51-59
Author(s):  
Nura Sani Yahaya ◽  
Muhammad Bilyaminu Ado ◽  
Muhammad Ibrahim Datti
Keyword(s):  
Environmental Pollution ◽  
Financial Development ◽  
Energy Use ◽  
Fossil Fuel ◽  
Fossil Energy ◽  
Economic Progress ◽  
Long Run ◽  
Low Emission ◽  
Short Run ◽  
Domestic Appliances

This study examined the effect of financial development, fossil energy use, economic progress, and FDI on environmental pollution in Nigeria from 1981 – 2014 using the ARDL technique. The outcome of the bond test reveals the presence of a long-run association on the variables of the model. The short-run estimate shows that all the variables positively influence CO2. The result of the long-run analysis further indicates that financial progress, fossil fuel, and GDP accelerates the level of CO2 discharge. However, FDI does not explain environmental pollution in Nigeria. Hence, the study suggests that government and policymakers should formulate policies to improve financial development designed to mitigate CO2 discharge by giving directives to financial institutions that all credits allocation should be toward the purchase of low emission technologies and domestic appliances. In addition, environmentalists should enlighten citizens on the danger of environmental pollution and ways to reduce it through public lectures and seminars.

scholarly journals Impact of Industrialization, Urbanization and Energy Consumption on Environmental Degradation: Evidence from India

2019 ◽  
Vol IV (II) ◽  
pp. 1-12
Author(s):  
Sohail Farooq ◽  
Shabana Parveen ◽  
Habib Elahi Sahibzada
Keyword(s):  
Economic Growth ◽  
Energy Consumption ◽  
Linear Regression ◽  
Linear Regression Model ◽  
Energy Use ◽  
Annual Data ◽  
Long Run ◽  
Study Results ◽  
Augmented Dickey Fuller ◽  
Negative Effect

Industrialization and Urbanization are the important pillars for economic growth in a country however, a threat to the natural environment. The major aim of this study is to empirically analyze the effect of industrialization, urbanization, and energy consumption on the environment in India. Annual data for the span of 1975-2018 is analyzed. Augmented Dickey-Fuller (ADF) and (PP) tests are adopted for checking the stationarity. After confirming long-run cointegration in all the variables, the study used a linear regression model for the estimates of the value of the coefficient of the variables. The estimates of the model show urbanization and consumption of energy have a positive significant (negative effect on the environment) whereas industrialization has a negative insignificant impact on emissions of CO2. It is recommended based on this study results that real planning regarding urbanization along with energy use is the need for the Indian economy, to control the high emissions of CO2.

scholarly journals Economic Growth and Environmental Pollution in Brunei: ARDL Bounds Testing Approach to Cointegration

2019 ◽  
pp. 1-11
Author(s):  
Issa Moh’d Hemed ◽  
Suleiman Malik Faki ◽  
Salim Hamad Suleiman
Keyword(s):  
Economic Growth ◽  
Environmental Pollution ◽  
Time Series Data ◽  
Series Data ◽  
Kuznets Curve ◽  
Bounds Testing ◽  
Long Run ◽  
Short Run ◽  
The Government ◽  
Bound Test

Aims: This study examined the short run and long run dynamic relationship between economic growth and environmental pollution in Brunei. We adoptedAuto Regressive Distributed Lag (ARDL) model to scrutinize the existence of the Environmental Kuznets Curve (EKC) among the studying variables by using time series data cover the period of 1974 to 2014. Methodology: The ARDL bound test revealed the existence of long-run relationship among the integrated variables when CO2 chosen as a dependent variable. Results: The results support the existences of EKC hypotheses in the long-run whereas in the short-run an inverted U-shaped curve was not confirmed between GDP and CO2 in Brunei. The results of Granger causality based on VECM analysis have shown unidirectional causality runs from economic growth to CO2 in the short run. Further analysis through stability test indicates the coefficients in the model are stable and do not suffers with structural break within the time taken in the study. Conclusion: The government of Brunei should proceed to target the sustainable means of production, which has an environmental friendly and consumes less energy to enhance economic growth and maintain environmental quality in the long run.

scholarly journals The environmental Kuznets curve in the case of Russia

2018 ◽  
Vol 4 (3) ◽  
pp. 249-265 ◽  
Author(s):  
Natalya Ketenci
Keyword(s):  
Energy Consumption ◽  
Carbon Emissions ◽  
Environmental Kuznets Curve ◽  
Energy Use ◽  
Trade Openness ◽  
Real Income ◽  
Kuznets Curve ◽  
Causality Test ◽  
Long Run ◽  
Short Run

This study explores the relationships between carbon emissions and their main determinants such as energy consumption, real income, international trade, level of education and level of urbanization in the Russian Federation, employing data for the period 1991–2016. Support for the environmental Kuznets curve hypothesis is found in this study, stating that environment pollution decreases in Russia after income achieves a certain threshold. The ARDL bounds test is employed in order to estimate short-run and long-run relationships in the estimated model. Energy consumption, real income, education and urbanization levels are found to be significant determinants of carbon emissions, while trade openness does not have an impact. The Granger causality test indicates two-way relationships between carbon emissions and energy use, real income and education. Only a single one-way causality runs from carbon emission to trade and no causality was found between carbon emissions and level of urbanization.

scholarly journals Does Trade Liberalization Affect Energy Saving in Nigeria?

2018 ◽  
Vol 6 (4) ◽  
Author(s):  
Aliyu Alhaji Jibrilla
Keyword(s):  
Energy Use ◽  
Energy Intensity ◽  
Trade Openness ◽  
Value Added ◽  
Annual Data ◽  
Distributed Lag ◽  
Long Run ◽  
Dynamic Ols ◽  
Short Run ◽  
Auto Regressive

The study empirically examines the role of trade openness and other determinants in explaining the intensity of energy use in Nigeria using annual data from 1981 to 2015. The paper uses an auto-regressive distributed lag (ARDL) model in interpreting both long-run energy intensity as a co integrating relation, and its short-run dynamics. The robustness of ARDL results is verified using Dynamic OLS (DOLS) estimation technique. The results provide evidence of a Cointegration relation between energy intensity and its determinants. The results provide evidence that trade only significantly reduces energy intensity in the short run. Meanwhile, the results also show that income growth and industry value added have significant reducing effects on energy intensity. The results also raise some important policy issues, particularly on the inflows of foreign aid.

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