Do Aging and Low Fertility Reduce Carbon Emissions in Korea? Evidence from IPAT Augmented EKC Analysis

The purpose of this article is to empirically find the Environmental Kuznets Curve (EKC) relationship between income and carbon dioxide (CO2) emissions and to analyze the influence of population aging on such emissions. We utilize Korean regional panel data of 16 provinces during the period from 1998 to 2016. To account for the nonstationary time series in the panel, we employ a fully modified ordinary least squares (FMOLS) and estimate long-run elasticity. From the empirical results, we can find the nonlinear relationship between income and CO2 emissions. Additionally, we verify the fact that population aging reduces CO2 emissions. A 1% increase in the proportion of the elderly results in a 0.4% decrease in CO2 emissions. On the other hand, the younger population increases CO2 emissions. These results were in line with those of additional analysis on residential and transportation CO2 emissions, for the robustness check.

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Revisiting the Environmental Kuznets Curve Hypothesis: A Case of Central Europe

Energies ◽

10.3390/en14123415 ◽

2021 ◽

Vol 14 (12) ◽

pp. 3415

Author(s):

Bartosz Jóźwik ◽

Antonina-Victoria Gavryshkiv ◽

Phouphet Kyophilavong ◽

Lech Euzebiusz Gruszecki

Keyword(s):

Economic Growth ◽

Co2 Emissions ◽

Central Europe ◽

Environmental Kuznets Curve ◽

European Countries ◽

Kuznets Curve ◽

The European Union ◽

Ekc Hypothesis ◽

Central European ◽

Long Run

The rapid economic growth observed in Central European countries in the last thirty years has been the result of profound political changes and economic liberalization. This growth is partly connected with reducing carbon dioxide (CO2) emissions. However, the problem of CO2 emissions seems to remain unresolved. The aim of this paper is to test whether the Environmental Kuznets Curve (EKC) hypothesis holds true for Central European countries in an annual sample data that covers 1995–2016 in most countries. We examine cointegration by applying the Autoregressive Distributed Lag bound testing. This is the first study examining the relationship between CO2 emissions and economic growth in individual Central European countries from a long-run perspective, which allows the results to be compared. We confirmed the cointegration, but our estimates confirmed the EKC hypothesis only in Poland. It should also be noted that in all nine countries, energy consumption leads to increased CO2 emissions. The long-run elasticity ranges between 1.5 in Bulgaria and 2.0 in Croatia. We observed exceptionally low long-run elasticity in Estonia (0.49). Our findings suggest that to solve the environmental degradation problem in Central Europe, it is necessary to individualize the policies implemented in the European Union.

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Energy, Emissions and the Economy: Empirical Analysis from Pakistan

The Pakistan Development Review ◽

10.30541/v53i4iipp.383-401 ◽

2014 ◽

Vol 53 (4II) ◽

pp. 383-401 ◽

Cited By ~ 2

Author(s):

Muhammad Tariq Mahmood ◽

Sadaf Shahab

Keyword(s):

Economic Growth ◽

Energy Consumption ◽

Co2 Emissions ◽

Fossil Fuels ◽

Kuznets Curve ◽

Bounds Testing ◽

Long Run ◽

Negative Impacts ◽

Energy Emissions ◽

Carbon Dioxide Co2

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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Environmental Kuznets Curve Hypothesis on CO2 Emissions: Evidence for China

Journal of Risk and Financial Management ◽

10.3390/jrfm14030093 ◽

2021 ◽

Vol 14 (3) ◽

pp. 93

Author(s):

Jihuan Zhang

Keyword(s):

Energy Consumption ◽

Co2 Emissions ◽

Environmental Kuznets Curve ◽

Trade Openness ◽

Co2 Reduction ◽

Kuznets Curve ◽

Ekc Hypothesis ◽

Distributed Lag ◽

Long Run ◽

Negative Effect

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.

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Testing the Environmental Kuznets Curve Hypothesis in North America’s Free Trade Agreement (NAFTA) Countries

Energies ◽

10.3390/en13123104 ◽

2020 ◽

Vol 13 (12) ◽

pp. 3104 ◽

Cited By ~ 1

Author(s):

Raul Arango Miranda ◽

Robert Hausler ◽

Rabindranarth Romero Lopez ◽

Mathias Glaus ◽

Jose Ramon Pasillas-Diaz

Keyword(s):

Granger Causality ◽

Co2 Emissions ◽

Free Trade ◽

Environmental Kuznets Curve ◽

Free Trade Agreement ◽

Trade Agreement ◽

Ordinary Least Squares ◽

Policy Implications ◽

Kuznets Curve ◽

Ekc Hypothesis

In force since 1994, the North American Free Trade Agreement (NAFTA) is still the most comprehensive agreement ever developed, conforming to the world’s largest trade market. However, the environmental impacts cannot be neglected, particularly greenhouse gas emissions. The environmental Kuznets curve (EKC) hypothesis is revisited, studying Canada, Mexico, and the U.S.A. in relation to carbon dioxide (CO2) emissions, gross domestic product (GDP), energy, and exergy consumption. Ordinary least squares, vector autoregression, and Granger causality tests are conducted. Additionally, exergy indicators and the human development index (HDI) are proposed. Results for Mexico and the U.S.A. describe similar and interesting outcomes. In the search of the environmental Kuznets curve (EKC), the EKC hypothesis is confirmed for Mexico and the U.S.A. However, for Canada, the EKC hypothesis does not stand. The Granger causality test displays the existence of a uni-directional causality running from CO2 emissions to economic growth; a similar behavior was observed while testing the for the exergetic control variables. The most intriguing Granger causal results are those from the U.S.A. A bidirectional relation was observed between exergy intensity and CO2 emissions. Moreover, the EKC curve was plotted by both variables. Furthermore, Mexico’s outcomes reveal that increasing renewable exergy share will decrease CO2 emissions. On the contrary, increasing HDI will grow CO2 emissions. Policy implications arise for NAFTA countries to minimize CO2 emissions by means of the growing renewable energy share. Exergy tools offer an appealing insight into energetic and environmental strategies.

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Long-run analysis of Environmental Kuznets Curve in the Middle East and North Africa

Environmental Economics ◽

10.21511/ee.08(4).2017.09 ◽

2017 ◽

Vol 8 (4) ◽

pp. 72-79 ◽

Cited By ~ 3

Author(s):

Younes Ben Zaied ◽

Nidhaleddine Ben Cheikh ◽

Pascal Nguyen

Keyword(s):

Middle East ◽

Co2 Emissions ◽

North Africa ◽

Environmental Kuznets Curve ◽

Estimation Method ◽

Emissions Reduction ◽

Kuznets Curve ◽

Mena Region ◽

Long Run ◽

Cointegration Tests

The main originality of this paper is to empirically investigate the long-run relationship between carbone dioxide (CO2) emissions, energy use and real GDP per capita in the Middle East and North Africa (MENA) during the last three decades. Using panel cointegration tests (Westerlund, (2007) and DOLS estimation method, we validate the Environmental Kuznets Curve (EKC) hypothesis in the long run for the MENA region countries. Therefore, we conclude that oil producer countries have adopted several policy decisions in favor of CO2 emissions reduction. The estimated turning point of the EKC confirms our intuitions that only oil producer countries achieve CO2 emissions reduction goal.

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Is there an environmental Kuznets inverted-U shaped curve?

Panoeconomicus ◽

10.2298/pan150215006k ◽

2018 ◽

Vol 65 (1) ◽

pp. 79-94 ◽

Cited By ~ 6

Author(s):

Cüneyt Kiliç ◽

Feyza Balan

Keyword(s):

Energy Consumption ◽

Co2 Emissions ◽

Financial Development ◽

Trade Openness ◽

Institutional Quality ◽

Ordinary Least Squares ◽

Kuznets Curve ◽

Ekc Hypothesis ◽

Cubic Polynomial ◽

Carbon Dioxide Co2

This study examines the relationship among carbon dioxide (CO2) emissions, income, energy consumption, trade openness, financial development and institutional quality based on the environmental Kuznets curve (EKC) hypothesis in 151 countries for the period 1996-2010, using the pooled ordinary least squares methods. The results support cubic specification of the EKC hypothesis, which assumes a cubic polynomial inverted-U shaped relationship between income and environmental degradation. Other empirical results indicate that energy consumption, trade openness, financial development and institutional quality are significant variables in explaining CO2 emissions.

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Economy and Pollution by CO2 Emissions - Kuznets Environmental Curve in Asia Pacific Countries

10.21203/rs.3.rs-434217/v1 ◽

2021 ◽

Author(s):

Carlos Francisco Ortiz-Paniagua ◽

Mario Nuno Mata ◽

Mario Gómes ◽

José Moleiro Martins ◽

Juan González-Garcia ◽

...

Keyword(s):

Co2 Emissions ◽

Environmental Kuznets Curve ◽

Asia Pacific ◽

Kuznets Curve ◽

Asia Pacific Region ◽

Commercial Activity ◽

Pollution Levels ◽

Carbon Dioxide Co2 ◽

The Relationship

Abstract The economies of the Asia Pacific region (APEC) are among the most dynamic, with the highest levels of commercial activity and environmental degradation in the world. One way to study trends in the relationship between the economy and pollution is the Environmental Kuznets Curve (EKC). This perspective assumed that in the long-term, higher levels of wealth would be achieve lower pollution levels. The aim was analyze whether the EKC behavior occurs for the APEC economies. The method used was an econometric model for carbon dioxide (CO2) emissions and GDP. The results showed stationary unit root in first differences, this suggest the presence of EKC behavior was explained with a high probability level that the GDP coefficient would reach an inflection point to become negative and significant.

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Foreign Direct Investment and Environmental Quality: Revisiting the EKC in Latin American Countries

Sustainability ◽

10.3390/su132212651 ◽

2021 ◽

Vol 13 (22) ◽

pp. 12651

Author(s):

Wilman-Santiago Ochoa-Moreno ◽

Byron Alejandro Quito ◽

Carlos Andrés Moreno-Hurtado

Keyword(s):

Co2 Emissions ◽

Latin American ◽

Environmental Kuznets Curve ◽

Direct Investment ◽

Ordinary Least Squares ◽

Kuznets Curve ◽

Short Term ◽

Middle Income ◽

Pollution Haven ◽

Latin American Countries

In this study we aim to test the effects of foreign direct investment (FDI) on carbon emissions (CO2) in 20 Latin American countries during the period of 1990–2018. Based on the atlas method of the World Bank, we divided the countries into three groups according to their real gross national income per capita: high-income, upper-middle-income and lower-middle-income countries. We used cointegration techniques and causality tests to evaluate the relationship between the variables. To assess the strength of the cointegration vector, we applied the dynamic ordinary least squares (DOLSs) model for individual countries and the dynamic panel ordinary least squares (PDOLSs) model for groups of countries. The results suggest that the entry of FDI into Latin American (LA) countries increases CO2 emissions, affecting the environmental quality. These findings disagree with the environmental Kuznets curve (EKC) hypothesis but, in contrast, they are in line with the pollution haven hypothesis (PHH). Moreover, we show evidence in long-term equilibrium relationship between FDI input and CO2 emissions, which is not the case for the short-term equilibrium. Some additional results suggest that FDI flows do not cause the CO2 emissions in LA countries. The empirical findings suggest policymakers to design policies to “the second-best theory”, targeting FDI flows to their economies to solve economic problems in the short term, but thereafter they may guarantee the reduction in environmental pollution, based on environmentally responsible FDI and stronger regulations. In other words, the transition from a pollution haven to the applicability of the environmental Kuznets curve (EKC). This study contributes with scarce empirical evidence for LA countries in this issue.

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The role of services in the environmental Kuznets curve

Economics and Business Letters ◽

10.17811/ebl.9.4.2020.326-333 ◽

2020 ◽

Vol 9 (4) ◽

pp. 326-333

Author(s):

Manuel Cantavella

Keyword(s):

Co2 Emissions ◽

Environmental Kuznets Curve ◽

Kuznets Curve ◽

Economic Activities ◽

Services Sector ◽

Distributed Lag ◽

Autoregressive Distributed Lag ◽

Curve Model ◽

Carbon Dioxide Co2

This paper examines the influence of services activity in the environmental Kuznets curve (EKC) model regarding carbon dioxide (CO2) emissions. The analysis is applied for Spain during the period 1940-2014. It compares the standard environmental Kuznets curve model and its modification by isolating the evolution of services effect. The results through the autoregressive distributed-lag (ARDL) estimation strategy confirm that even though all economic activities tend to be more and more sustainable, it is the evolution of services sector that becomes fundamental in the reduction of per capita CO2 emissions.

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Relationships among Carbon Emissions, Economic Growth, Energy Consumption and Population Growth: Testing Environmental Kuznets Curve Hypothesis for Brazil, China, India and Indonesia

10.31235/osf.io/8hq6z ◽

2019 ◽

Cited By ~ 1

Author(s):

Md. Mahmudul Alam ◽

Wahid Murad ◽

Abu Hanifa Md. Noman ◽

Ilhan Ozturk

Keyword(s):

Time Series ◽

Energy Consumption ◽

Population Growth ◽

Co2 Emissions ◽

Environmental Kuznets Curve ◽

Time Series Data ◽

Series Data ◽

Kuznets Curve ◽

Long Run ◽

Short Run

This study examines the impacts of income, energy consumption and population growth on CO2 emissions by employing an annual time series data for the period 1970-2012 for India, Indonesia, China, and Brazil. The study used the Autoregressive Distributed Lag (ARDL) bounds test approach considering both the linear and non-linear assumptions for related time series data for the top CO2 emitter emerging countries in both the short run and long run. The results show that CO2 emissions have increased statistically significantly with increases in income and energy consumption in all four countries. While the relationship between CO2 emissions and population growth was found to be statistically significant for India and Brazil, it has been statistically insignificant for China and Indonesia in both the short run and long run. Also, empirical observations from the testing of environmental Kuznets curve (EKC) hypothesis imply that in the cases of Brazil, China and Indonesia, CO2 emissions will decrease over the time when income increases. So based on the EKC findings, it can be argued that these three countries should not take any actions or policies, which might have conservative impacts on income, in order to reduce their CO2 emissions. But in the case of India, where CO2 emissions and income were found to have a positive relationship, an increase in income over the time will not reduce CO2 emissions in the country.

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