THE ROLE OF ICT AND ENERGY CONSUMPTION ON CARBON EMISSIONS: AN AUSTRALIAN EVIDENCE USING COINTEGRATION TEST AND ARDL LONG-RUN AND SHORT-RUN METHODOLOGY

The aim of this study is to examine the empirical cointegration, long-run and short-run dynamics and causal relationships between carbon emissions, energy consumption and economic growth in 14 Danube region countries over the period of 1990–2019. The autoregressive distributed lag (ARDL) bounds testing methodology was applied for each of the examined variables as a dependent variable. Limited by the length of the time series, we excluded two countries from the analysis and obtained valid results for the others for 26 of 36 ARDL models. The ARDL bounds reliably confirmed long-run cointegration between carbon emissions, energy consumption and economic growth in Austria, Czechia, Slovakia, and Slovenia. Economic growth and energy consumption have a significant impact on carbon emissions in the long-run in all of these four countries; in the short-run, the impact of economic growth is significant in Austria. Likewise, when examining cointegration between energy consumption, carbon emissions, and economic growth in the short-run, a significant contribution of CO2 emissions on energy consumptions for seven countries was found as a result of nine valid models. The results contribute to the information base essential for making responsible and informed decisions by policymakers and other stakeholders in individual countries. Moreover, they can serve as a platform for mutual cooperation and cohesion among countries in this region.

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Does Temperature Contribute to Environment Degradation? Pakistani Experience Based on Nonlinear Bounds Testing Approach

Global Business Review ◽

10.1177/0972150920916653 ◽

2020 ◽

pp. 097215092091665 ◽

Cited By ~ 3

Author(s):

Muhammad Saeed Meo ◽

Solomon Prince Nathaniel ◽

Muhammad Murtaza Khan ◽

Qasim Ali Nisar ◽

Tehreem Fatima

Keyword(s):

Economic Growth ◽

Energy Consumption ◽

Carbon Emissions ◽

Energy Use ◽

Global Climate ◽

Bounds Testing ◽

Renewable Energy Consumption ◽

Global Climate Changes ◽

Long Run ◽

Short Run

Many developing countries are acutely vulnerable to global climate changes. In Pakistan, carbon emissions are primarily contributed by the factor of energy production from oil, gas and coal. The objective of this study is to estimate the asymmetric impact of temperature, energy use, economic growth, water scarcity on CO2 emissions in Pakistan over their period of 1960–2016. Based on nonlinear bounds testing (NARDL) approach, it is confirmed that there is an asymmetric relationship between temperature and CO2 emission, while energy use, population growth and economic growth have a positive effect in the short run. In the long run, energy consumption and economic growth were found to increase emission, while a temperature decrease by 1 per cent leads to 5 per cent decrease in carbon emissions. Population and water availability also reduces emission in Pakistan. Further, the study also confirms the long-run relationship between the variables. The finding of the study noticeably supports the policy to increase renewable energy consumption.

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Analyzing the Impact of Energy, Export Variety, and FDI on Environmental Degradation in the Context of Environmental Kuznets Curve Hypothesis: A Case Study of India

Energies ◽

10.3390/en12061076 ◽

2019 ◽

Vol 12 (6) ◽

pp. 1076 ◽

Cited By ~ 9

Author(s):

Tijjani Adamu ◽

Ihtisham Haq ◽

Muhammad Shafiq

Keyword(s):

Energy Consumption ◽

Environmental Degradation ◽

Carbon Emissions ◽

Environmental Kuznets Curve ◽

Kuznets Curve ◽

Ekc Hypothesis ◽

Long Run ◽

Export Variety ◽

Short Run ◽

The Impact

The economic size of the Indian economy and its status as one of the major global emitters of carbon emissions makes the country a good place to study the determinants of environmental degradation in India. The study aims at analyzing the impact of energy, export variety, and foreign direct investment (FDI) on environmental degradation in India in the context of environmental Kuznets curve (EKC) hypothesis. The long run relationship was found between variables of the study through a cointegration test, whereas long run estimates were obtained through cointegration and dynamic ordinary least squares (DOLS). Results of the study reveal that energy consumption, export variety, FDI, and income positively contributed to environmental degradation in India. Results also unveil that the EKC hypothesis does not exist in India. Causality analyses document unidirectional causality from income and FDI to environmental degradation, and bidirectional causality was witnessed between energy consumption and environmental degradation and between export variety and environmental degradation in the long run. The long run and the short run causality highlight that India has to forego the short run economic growth in order to improve its environmental quality and reduce global carbon emissions; however, it will not affect its long term economic development process.

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Energy Consumption, Environmental Degradation and Growth: A Panel Data Analysis

ASM Science Journal ◽

10.32802/asmscj.2020.sm26(1.8) ◽

2020 ◽

pp. 1-6

Author(s):

Sayed Kushairi Sayed Nordin ◽

Siok Kun Sek

Keyword(s):

Economic Growth ◽

Carbon Dioxide ◽

Energy Consumption ◽

Environmental Degradation ◽

Low Income ◽

Cointegration Test ◽

Low Income Countries ◽

Long Run ◽

Short Run ◽

The Relationship

Energy is essential as an input to develop economic, although it could bring negative effect on environmental quality. The relationship between energy consumption, environmental degradation and economic growth have been widely studied, but there is no consistency in the relationship. The objectives of this study are to determine the short-run relationship (one-way or bidirectional) and to reveal the long-run relationship for each pair of variables. The second-generation panel unit root and cointegration test were used in the analysis. Breusch-Pagan LM test suggests that there is a cross-sectional dependency for all the models and integrated of order one, I (1). Cointegration test indicates that economic growth has long-relationship with carbon dioxide and energy consumption in high-income countries. In low-income countries, carbon dioxide has a long-run relationship with energy consumption and economic growth. In the short run, we have evidence of a bidirectional relationship between energy consumption and economic growth in high-income countries but a one-way relationship in low-income countries. Overall, it can be concluded that the three variables are related. This study develops a deeper awareness and understanding of the relationship between the variables in distinct levels of economies. Keywords: energy consumption; CO2, economic growth

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An econometric study of energy consumption, carbon emissions and economic growth in South Asia: 1972-2009

World Journal of Science Technology and Sustainable Development ◽

10.1108/wjstsd-08-2013-0037 ◽

2014 ◽

Vol 11 (3) ◽

pp. 182-195 ◽

Cited By ~ 5

Author(s):

Harishankar Vidyarthi

Keyword(s):

Economic Growth ◽

Energy Consumption ◽

South Asia ◽

Carbon Emissions ◽

Content Type ◽

Energy Mix ◽

Long Run ◽

Equilibrium Relationship ◽

Short Run ◽

Long Run Equilibrium

Purpose – The purpose of this paper is to empirically examine the relationship between energy consumption, carbon emissions and economic growth for a panel of five South Asian economies namely India, Pakistan, Bangladesh, Sri Lanka and Nepal over the period 1972-2009 within multivariate framework. Design/methodology/approach – The study uses Pedroni cointegration and Granger causality test based on panel vector error correction model to examine long-run equilibrium relationship and direction of causation in short run and long run between energy consumption, carbon emissions and economic growth in South Asia. Findings – Cointegration result indicates the long-run equilibrium relationship between economic growth, energy consumption and carbon emissions for panel. Causality results suggest that bidirectional causality exist between energy consumption-GDP, and unidirectional causality from carbon emissions to GDP and energy consumption in long run. However, energy consumption causes carbon emissions in short run. Practical implications – Implementing energy efficiency measures and reducing dependence on fossils fuels by scaling up carbon free energy resources like nuclear, renewables including hydropower in energy mix is necessary for sustainable and inclusive growth in the region. Originality/value – South Asia economies need to sacrifice economic growth for reducing the carbon emissions in long run if the region dependence on fossils fuels including coal, oil and natural gas in energy mix continues at same pace.

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Financial development, energy consumption, technology, urbanization, economic output and carbon emissions nexus in BRICS countries: an empirical analysis

Management of Environmental Quality An International Journal ◽

10.1108/meq-02-2020-0035 ◽

2020 ◽

Vol ahead-of-print (ahead-of-print) ◽

Cited By ~ 1

Author(s):

Chandrashekar Raghutla ◽

Krishna Reddy Chittedi

Keyword(s):

Energy Consumption ◽

Financial Development ◽

Emerging Economies ◽

Carbon Emissions ◽

Urban Population ◽

Content Type ◽

Economic Output ◽

Long Run ◽

Short Run ◽

The Impact

PurposeThe study investigates the impact of financial development, urban population, technology and energy consumption on economic output and carbon emissions in Brazil, Russia, India, China and South Africa (BRICS) economies.Design/methodology/approachThe study uses Johansen Fisher type panel cointegration, fully modified ordinary least square and heterogeneous panel causality tests to examine long-run, long-run elasticities and short-run relationships. For conducting the tests, the study selected five emerging economies, i.e. Brazil, Russia, India, China and South Africa and used balanced panel data for the period between 1998 and 2016.FindingsThe empirical results confirm the presence of a long-run cointegration relationship among the variables. We find that financial development, technology and energy consumption have a considerable positive impact on economic output. Also, financial development, urban population and technology help reduce carbon (CO2) emissions and ensure an improved environmental quality in the long run in the five emerging economies. In the short run, a bidirectional causal relationship is noticed between financial development and CO2 emissions.Practical implicationsClean energy, technological development and investments by public–private partnerships are required in the public and private sectors to reduce carbon emissions. This not only ensures improved environmental quality but also increases energy efficiency, thereby reducing dependency on traditional energy consumption.Originality/valueAs its contribution to the extant literature, the study examines the impact of financial development, energy consumption, technology, urbanization, economic output and carbon emissions in BRICS economies. The findings of the research suggest both the governments and policymakers of these five emerging economies to develop more effective policies toward bolstering the financial development and increasing the use of technology. These, in turn, ensure sustainable development with low CO2 emission in the future and, eventually, pushing those five emerging market economies toward sustainable economic growth.

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The environmental Kuznets curve in the case of Russia

Russian Journal of Economics ◽

10.3897/j.ruje.4.28482 ◽

2018 ◽

Vol 4 (3) ◽

pp. 249-265 ◽

Cited By ~ 2

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.

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Role of Energy in Economic Growth of Pakistan (1972-2015)

Global Social Sciences Review ◽

10.31703/gssr.2019(iv-ii).21 ◽

2019 ◽

Vol IV (II) ◽

pp. 158-164 ◽

Cited By ~ 1

Author(s):

Sher Ali ◽

Fazle Wahid ◽

Abid Ali

Keyword(s):

Economic Growth ◽

Energy Consumption ◽

Energy Sector ◽

Energy Sources ◽

Estimation Technique ◽

Long Run ◽

Short Run

This paper highlights the importance of energy in the determination of growth for economy of Pakistan. This study has been taken for the period of 1972-2015. Along with energy consumption some other important variables are also put into investigation. The Johansson co-integration estimation technique has been used to estimate the required impact. The results show that energy consumption contributed positively and significantly to long run economic growth. While the said impact is statistically insignificant in the short run, the study suggested on the basis of results that energy sources should be explored to boost which may possible to satisfy the energy need of the country and to get guaranteed economic growth in the long run. Therefore, Government should pay special attention toward the country’s energy sector to stabilize the economy which assures prosperity in the country.

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Influencing Factors of New Energy Development in China: Based on ARDL Cointegration and Granger Causality Analysis

Frontiers in Energy Research ◽

10.3389/fenrg.2021.718565 ◽

2021 ◽

Vol 9 ◽

Author(s):

Fuliang Xue ◽

Xiaotong Feng ◽

Jing Liu

Keyword(s):

Economic Growth ◽

Power Generation ◽

Energy Consumption ◽

Carbon Emissions ◽

Industrial Structure ◽

Energy Development ◽

Energy Prices ◽

Long Run ◽

New Energy ◽

Short Run

The development and competition of the new energy industry will become an important battlefield of a new round of technological and industrial competition. This study use the annual data from 1990 to 2019 to understand the factors affecting the development of new energy development in China by examining the long-run and causal relationship among the proportion of new energy consumption, energy prices, carbon emissions, industrial structure, economic growth, and new energy power generation in a multivariate model for China. The findings indicate that in the long run, new energy generation is positively linked with new energy consumption, whereas energy prices and carbon emissions have a negative and significant impact on new energy consumption. In the short run, economic growth can promote the growth of new energy consumption. However, this positive effect is gradually formed and is unlikely to happen soon. However, whether the impact of industrial structure optimization on new energy consumption is a long- or short-run estimate is not significant. Causality results suggest that a one-way Granger causality exists between each factor and new energy consumption in different lag orders, except for industrial structure. Re-examining the energy price mechanism and carbon emission mechanism policy, maintaining stable GDP growth, increasing the installed capacity of new energy power generation, and improving power generation conversion efficiency are vital for ensuring new energy development.

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Investigating the Asymmetric Effect of Economic Growth on Environmental Quality in the Next 11 Countries

Energies ◽

10.3390/en14020491 ◽

2021 ◽

Vol 14 (2) ◽

pp. 491

Author(s):

Gideon Kwaku Minua Ampofo ◽

Jinhua Cheng ◽

Edwin Twum Ayimadu ◽

Daniel Akwasi Asante

Keyword(s):

Economic Growth ◽

Energy Consumption ◽

South Korea ◽

Carbon Emissions ◽

Carbon Emission ◽

Policy Implications ◽

Asymmetric Effect ◽

Long Run ◽

Short Run ◽

Asymmetric Causality

This study investigates the asymmetric cointegration and causal relationships between economic growth, carbon emissions, and energy consumption in the next eleven (11) countries over the period 1972–2013. The nonlinear autoregressive distributed lag (NARDL) bounds testing approach and nonpragmatic Granger causality tests are employed. This research’s empirical results have entrenched vital relationships that have significant policy implications. We affirm nonlinear cointegration among the variables in Bangladesh, Iran, Turkey, and Vietnam. The long-run asymmetric effect outcomes indicate a definite boom in economic growth, significantly increases carbon emission in Turkey, and a decline in Vietnam. Additionally, a positive shock to energy consumption significantly increases the carbon emission in Bangladesh, Iran, and Turkey, but a decrease in emissions in Vietnam. Findings from the Wald test reveal a long-run asymmetric effect between carbon emission and economic growth in Bangladesh, Iran, and Vietnam, and for Iran, an asymmetric short-run impact. Long-run and short-run asymmetric effects between carbon emission and energy consumption in Bangladesh and Iran. In terms of asymmetric causality results, bidirectional causality between carbon emission and economic growth was noted in Bangladesh and Turkey, and a unidirectional causality from economic growth to carbon emission in Egypt and South Korea. Energy consumption causes carbon emission in Bangladesh, Egypt, Pakistan, South Korea, and not vice versa. We determined a bidirectional asymmetric causality relationship between carbon emission and energy consumption in Vietnam and a unidirectional causality link from carbon emissions to Turkey’s energy consumption.

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