scholarly journals Impact of Economic Policy Uncertainty on Carbon Emissions: Evidence from 137 Multinational Countries

2021 ◽  
Vol 19 (1) ◽  
pp. 4
Author(s):  
Hai-Jie Wang ◽  
Yong Geng ◽  
Xi-Qiang Xia ◽  
Quan-Jing Wang
Keyword(s):  
Economic Policy ◽  
World Bank ◽  
Carbon Emissions ◽  
Policy Implications ◽  
Policy Uncertainty ◽  
International Treaties ◽  
Stirpat Model ◽  
Economic Policy Uncertainty ◽  
Cross Country ◽  
The Relationship

With growing economic policy uncertainty (EPU) and the importance of protecting the natural environment worldwide, the relationship between EPU and carbon emissions should be investigated further. However, conclusions in the existing literature on the relationship between EPU and carbon emission are inconclusive. This paper aims to examine the influence of EPU on carbon emissions according to the Stochastic Impacts by Regression on Population, Affluence and Technology (STIRPAT) model. To investigate such essential issues, we conduct GMM estimations by utilizing cross-country data covering 137 countries during the period 1970–2018, obtained from World Bank and OECD statistics. Our empirical estimations support that EPU would bring about more carbon emissions, while we conduct empirical analysis by changing the system of measurement, employing alternative estimation and constructing new samples. Our study provides substantial policy implications for government participation in international treaties on environmental protection to mitigate environmental degradation.

scholarly journals Do Economic Policy Uncertainty and Geopolitical Risk Lead to Environmental Degradation? Evidence from Emerging Economies

2021 ◽  
Vol 13 (11) ◽  
pp. 5866
Author(s):  
Muhammad Khalid Anser ◽  
Qasim Raza Syed ◽  
Hooi Hooi Lean ◽  
Andrew Adewale Alola ◽  
Munir Ahmad
Keyword(s):  
Economic Policy ◽  
Renewable Energy ◽  
Environmental Degradation ◽  
Emerging Economies ◽  
Ecological Footprint ◽  
Policy Implications ◽  
Policy Uncertainty ◽  
Economic Policy Uncertainty ◽  
Integration Test ◽  
The Impact

Since the turn of twenty first century, economic policy uncertainty (EPU) and geopolitical risk (GPR) have escalated across the globe. These two factors have both economic and environmental impacts. However, there exists dearth of literature that expounds the impact of EPU and GPR on environmental degradation. This study, therefore, probes the impact of EPU and GPR on ecological footprint (proxy for environmental degradation) in selected emerging economies. Cross-sectional dependence test, slope heterogeneity test, Westerlund co-integration test, fully modified least ordinary least square estimator, dynamic OLS estimator, and augmented mean group estimator are employed to conduct the robust analyses. The findings reveal that EPU and non-renewable energy consumption escalate ecological footprint, whereas GPR and renewable energy plunge ecological footprint. In addition, findings from the causality test reveal both uni-directional and bi-directional causality between a few variables. Based on the findings, we deduce several policy implications to accomplish the sustainable development goals in emerging economies.

Economic Policy Uncertainty in the Euro Area: Cross-Country Spillovers and Macroeconomic Impact

2019 ◽  
Vol 239 (5-6) ◽  
pp. 957-981 ◽  
Author(s):  
Volker Clausen ◽  
Alexander Schlösser ◽  
Christopher Thiem
Keyword(s):  
Economic Policy ◽  
Structural Var ◽  
Policy Uncertainty ◽  
Economic Policy Uncertainty ◽  
Financial Firms ◽  
Macroeconomic Impact ◽  
Variance Decompositions ◽  
Cross Country ◽  
Uncertainty Indices ◽  
The Impact

Abstract This paper analyzes spillovers and the macroeconomic effects of economic policy uncertainty (EPU) in Europe over the last two decades. Drawing on the newspaper-based uncertainty indices by Baker et al. (2016, Measuring Economic Policy Uncertainty. Quarterly Journal of Economics 131 (4): 1593–1636), we first use the Diebold and Yilmaz (2014 On the Network Topology of Variance Decompositions: Measuring the Connectedness of Financial Firms. Journal of Econometrics 182 (1): 119–134) connectedness index methodology to investigate the static and dynamic patterns of EPU spillovers. We find substantial spillovers across the European countries. Over time, Germany in particular has become increasingly connected to the other economies. In a second step, we investigate the economic impact of EPU shocks using a structural VAR. The detrimental influence of uncertainty turns out to be regime-dependent. We identify a pre-crisis, a crisis and a post-crisis regime, and the effect is only significant in the former two. Finally, the impact of EPU shocks is also heterogeneous across the monetary union’s most important members.

Global Economic Policy Uncertainty and Tourism of Fragile Five Countries: Evidence from Time and Frequency Approaches

2020 ◽  
pp. 004728752092124
Author(s):  
Tsung-Pao Wu ◽  
Hung-Che Wu
Keyword(s):  
Economic Policy ◽  
National Security ◽  
High Frequency ◽  
Annual Data ◽  
Frequency Change ◽  
Policy Uncertainty ◽  
Economic Policy Uncertainty ◽  
The Government ◽  
Changes Over Time ◽  
The Relationship

The purpose of this study is to examine the relationship between global economic policy uncertainty (GEPU) and tourism activities in the Fragile Five (F5) countries, namely, Brazil, India, Indonesia, South Africa, and Turkey. By using wavelet transform context structures and the annual data during the period of 1997–2016. The finding shows that the relationship is generally positive but changes over time, displaying low- to high-frequency cycles. Moreover, the timing and frequency change when GEPU co-moves with tourism. It can be recommended that the government maintain the national security and peace protocols.

Cross-country determinants of economic policy uncertainty spillovers

2017 ◽  
Vol 156 ◽  
pp. 179-183 ◽  
Author(s):  
Faruk Balli ◽  
Gazi Salah Uddin ◽  
Hasan Mudassar ◽  
Seong-Min Yoon
Keyword(s):  
Economic Policy ◽  
Policy Uncertainty ◽  
Economic Policy Uncertainty ◽  
Cross Country

scholarly journals Impact of US Economic Policy Uncertainty on Geopolitical Risk. Evidence from BRIC Economies

2020 ◽  
Vol 65 (4) ◽  
pp. 485-496
Author(s):  
Imtiaz Arif ◽  
Amna Sohail Rawat ◽  
Muhammad Shahbaz
Keyword(s):  
Economic Policy ◽  
Financial Market ◽  
Investment Decisions ◽  
Policy Uncertainty ◽  
Estimation Technique ◽  
Economic Policy Uncertainty ◽  
Bric Countries ◽  
The Us ◽  
Asymmetric Relation ◽  
The Relationship

This paper estimates the relationship between US economic policy uncertainty and geopolitical risk in the BRIC economies.1 Due to the assumption of a non-linear and asymmetric relation between US economic policy uncertainty and geopolitical risk of BRIC countries, a nonparametric estimation technique, Quantile on Quantile approach has been used for empirical analysis. The empirical results revealed that the relationship between the US economic policy uncertainty and geopolitical risk of BRIC economies is heterogeneous in nature. We noted that economic policy uncertainty in the US is negatively related to geopolitical risk in Chinese and Russian economies. However, for Indian and Brazilian economies US economic policy uncertainty is positively related to geopolitical risk. The outcomes of the study will be helpful for the investors and financial market players for taking investment decisions. It will also benefit the legislators and policymakers in making policies that could make their respective economies insulated from foreign policy risks.

scholarly journals Economic Policy Uncertainty: Persistence and Cross-Country Linkages

2020 ◽  
Author(s):  
Emmanuel Joel Aikins Abakah ◽  
Guglielmo Maria Caporale ◽  
Luis A. Gil-Alana
Keyword(s):  
Economic Policy ◽  
Policy Uncertainty ◽  
Economic Policy Uncertainty ◽  
Cross Country

THE RELATIONSHIP BETWEEN ECONOMIC POLICY UNCERTAINTY AND CORPORATE TAX RATES

2021 ◽  
pp. 2150002
Author(s):  
MATTHEW CLANCE ◽  
GIRAY GOZGOR ◽  
RANGAN GUPTA ◽  
CHI KEUNG MARCO LAU
Keyword(s):  
Economic Policy ◽  
Policy Uncertainty ◽  
Tax Rates ◽  
Corporate Tax ◽  
Economic Policy Uncertainty ◽  
Estimation Techniques ◽  
Uncertainty Index ◽  
Corporate Tax Rates ◽  
The Relationship

This paper investigates the relationship between economic policy uncertainty and corporate tax rates in a panel dataset of 126 countries throughout 2003–2018. We use the so-called “World Uncertainty Index” to measure the level of economic policy uncertainty. We utilize various estimation techniques and find a one-way causality from economic policy uncertainty to corporate tax rates. Specifically, a rise in economic policy uncertainty leads to higher corporate tax rates. We also discuss potential implications.

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