scholarly journals Environmental Accounting of Financial Development and Foreign Investment: Spatial Analyses of East Asia

2018 ◽  
Vol 11 (1) ◽  
pp. 13 ◽  
Author(s):  
Haider Mahmood ◽  
Maham Furqan ◽  
Omar Bagais
Keyword(s):  
Co2 Emissions ◽  
Spatial Econometrics ◽  
Trade Openness ◽  
Spillover Effects ◽  
Environmental Accounting ◽  
Kuznets Curve ◽  
Ekc Hypothesis ◽  
Fdi Inflows ◽  
Per Capita ◽  
Financial Market Development

This paper aspires to examine the environmental effects of financial market development (FMD), foreign direct investment (FDI), and trade openness on the CO2 emissions per capita along with the environmental Kuznets curve (EKC) hypothesis in six East Asian countries from 1991–2014. For this purpose, spatial econometrics is applied to consider the spillover effects from neighboring countries. The results of the study corroborate the spillover effects from neighboring countries’ CO2 emissions per capita, FMD, FDI, and trade openness, and the EKC hypothesis is proven true in this region. Local FDI inflows, trade openness, and energy intensity are found to be responsible for local environmental degradation. Local FMD has an insignificant environmental effect, but neighboring countries’ FMD has contributed to the local CO2 emissions per capita. Further, positive (negative) environmental spillover effects are found from neighboring countries’ FDI (trade openness).

scholarly journals ENVIRONMENTAL KUZNETS CURVE HYPOTHESIS IN SELECTED EU COUNTRIES: KYOTO EFFECT

2019 ◽  
Vol 2 (2) ◽  
pp. 134-139
Author(s):  
​Cuma Bozkurt ◽  
İlyas Okumuş
Keyword(s):  
Energy Consumption ◽  
Environmental Pollution ◽  
Co2 Emissions ◽  
Trade Openness ◽  
Gdp Growth ◽  
Ekc Hypothesis ◽  
Eu Countries ◽  
Dummy Variable ◽  
Real Gdp ◽  
Per Capita

The purposes of this study is to investigate the relationship between per capita CO2 emissions, per capita energy consumption, per capita real GDP, the squares of per capita real GDP, trade openness and Kyoto dummies in selected 20 EU countries over the periods from 1991 to 2013 in order to analyze the connection between environmental pollution and Kyoto Protocol using Environmental Kuznets Curve (EKC) framework. According to EKC hypothesis, there is an inverted-U shape relation between environmental pollution and economic growth. Generally, the relationship between environmental pollution, per capita GDP and energy consumption has been analyzed for testing EKC hypothesis. In this study, it is used dummy variable to analyze the effects of Kyoto protocol on environmental degradation in the context of EKC hypothesis model. The dummy variable indicates Kyoto Protocol agreement year 2005. The results show that there is long run cointegration relationship between CO2, energy consumption, GDP growth, and the squares of GDP growth, trade openness and Kyoto dummy variable. Energy consumption and GDP growth increase the level of CO2 emissions. On the contrary, Kyoto dummy variable de­creases CO2 emissions in EU countries. In addition, the results reveal that the squares of per capita real GDP and trade openness rate are statistically insignificant. As a result of analysis, the inverted-U shape EKC hypothesis is invalid in these EU countries over the periods from 1991 to 2013.

scholarly journals Financial Market Development and Pollution Nexus in Saudi Arabia: Asymmetrical Analysis

Energies ◽  
2018 ◽  
Vol 11 (12) ◽  
pp. 3462 ◽  
Author(s):  
Haider Mahmood ◽  
Abdullatif Alrasheed ◽  
Maham Furqan
Keyword(s):  
Saudi Arabia ◽  
Energy Consumption ◽  
Co2 Emissions ◽  
Financial Market ◽  
Market Development ◽  
Kuznets Curve ◽  
Long Run ◽  
Short Run ◽  
Per Capita ◽  
Financial Market Development

The study is aimed to scrutinize the presence of Environmental Kuznets Curve (EKC) hypothesis in Saudi Arabia by analyzing a period of 1971–2014. Asymmetrical impacts of Financial Market Development (FMD) and energy consumption per capita have also been tested on CO2 emissions per capita. The estimates buoyed the long and short-run relationships in the hypothesized model, and EKC is found to be true in terms of the relationship between income and pollution. Asymmetrical effects of FMD in the long run and asymmetrical effects of energy consumption per capita in the long and short run are presented on the CO2 emissions per capita. A decreasing FMD is found responsible for environmental degradation, and decreasing energy consumption per capita is found helpful in controlling CO2 emissions. The tested effect of the financial crisis is found insignificant on CO2 emissions.

scholarly journals Environmental Kuznets Curve Hypothesis on CO2 Emissions: Evidence for China

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.

scholarly journals Malaysia’s Energy-Growth Nexus and Environmental Kuznets Curve Hypothesis: Empirical Analysis Using the VECM and ARDL Cointegration Techniques

2021 ◽  
Vol 8 (1) ◽  
pp. 1-27
Author(s):  
Takashi Fukuda
Keyword(s):  
Economic Growth ◽  
Co2 Emissions ◽  
Environmental Kuznets Curve ◽  
Structural Break ◽  
Trade Openness ◽  
Kuznets Curve ◽  
Ekc Hypothesis ◽  
Energy Growth ◽  
Distributed Lag ◽  
Causality Tests

This paper investigated Malaysia’s energy-growth nexus and environmental Kuznets curve (EKC) hypothesis over the period 1971-2014 by taking the globalization variables of trade openness and foreign direct investment (FDI) and the structural break dummy of the Asian financial crisis of 1997 into estimation. To give interference, the Granger causality tests were implemented in the framework of two cointegration techniques: vector error correction model (VECM) and autoregressive distributed lag (ARDL). As per Malaysia’s energy-growth nexus, referring to different results of the two approaches, we concluded that the presence of the energy-growth nexus was statistically confirmed, but it has not been fully established yet in the country. On the other hand, both the VECM and ARDL results provided the same conclusion for Malaysia’s EKC hypothesis, that is, in the initial stage, as the higher economic growth, the less CO2 emissions, but after a threshold, the higher economic growth, the more CO2 emissions.

scholarly journals Economic growth, openness, industry and CO2 modelling: are regulatory policies important in Turkish economies?

2020 ◽  
Author(s):  
Emine Kılavuz ◽  
İbrahim Doğan
Keyword(s):  
Economic Growth ◽  
Environmental Pollution ◽  
Co2 Emissions ◽  
Fossil Fuels ◽  
Raw Materials ◽  
Trade Openness ◽  
Kuznets Curve ◽  
Regulatory Policies ◽  
Per Capita

Abstract As a result of economic growth, demand for energy increases as well as raw materials. The fact that energy sources are mostly fossil fuels has increased interest in causation between growth and environmental pollution. As global warming and climate changes gain importance in recent years, environmental pollution continues to be discussed in the economic literature. As Turkey’s economy grows rapidly, its increasing energy needs are often met with fossil fuels because they are cheaper than other options. This study analyzes the availability of the environmental Kuznets curve (EKC) hypothesis, which analyzes an inverse U-shaped relation among carbon dioxide (CO2) emissions per capita and output for Turkey in the period 1961–2018. The study used the autoregressive distributed lag to demonstrate the short- and long-term relationship between CO2 emissions per capita, real income per capita, industry and trade openness. The conclusions do confirm that there is a quadratic relation between income and CO2 emissions, supporting EKC relation in the long term. The results also demonstrate that the CO2, which is a major component of greenhouse gases, are mainly specified by income in the long term and short term. The contribution of industry to CO2 is minimal in the long run, while trade openness does not have any effect.

scholarly journals Is there an environmental Kuznets inverted-U shaped curve?

2018 ◽  
Vol 65 (1) ◽  
pp. 79-94 ◽  
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.

scholarly journals Carbon Emissions and Income Trajectory in Eight Heterogeneous Countries: The Role of Trade Openness, Energy Consumption and Population Dynamics

2013 ◽  
Vol 9 (2) ◽  
Author(s):  
OLUWOLE OWOYE ◽  
OLUGBENGA A. ONAFOWORA
Keyword(s):  
Economic Growth ◽  
Energy Consumption ◽  
Co2 Emissions ◽  
Trade Openness ◽  
Policy Decision ◽  
Kuznets Curve ◽  
Ekc Hypothesis ◽  
Sample Mean ◽  
Long Run ◽  
Wide Range

This paper examines the long-run and dynamic temporal relationships between economic growth, energy consumption, population density, trade openness, and carbon dioxide    (CO2) emissions in Brazil, China, Egypt, Japan, Mexico, Nigeria, South Korea, and South Africa based on the environment Kuznets curve (EKC) hypothesis. We employ the ARDL Bounds test to cointegration and CUSUM and CUSUMSQ tests to ensure long-run cointegration and parameter stability.  The estimated results show that the inverted U-shaped EKC hypothesis holds in Japan and South Korea.  In the other six countries, the long-run relationship between economic growth and CO2 emissions follows an N-shaped trajectory and the estimated turning points are much higher than the sample mean. In addition, the results indicate that energy consumption Granger-causes both CO2 emissions and economic growth in all the countries.  An important implication of our findings is that it would be ill-advised for the policy decision makers to adopt the EKC postulate as the conceptual basis for policies favoring economic growth unconditionally. A wide range of policy initiatives that would induce increased demand for better environment quality and its sustainability should be explored in tandem with measures to spur economic growth.

Economic Growth And Carbon Dioxide Emissions: The Environmental Kuznets Curve Hypothesis In Yemen

2021 ◽  
Vol 2021 (68) ◽  
pp. 42-58
Author(s):  
Essa Alhannom ◽  
Ghaleb Mushabab
Keyword(s):  
Economic Growth ◽  
Carbon Dioxide ◽  
Energy Consumption ◽  
Co2 Emissions ◽  
Carbon Dioxide Emissions ◽  
Environmental Kuznets Curve ◽  
Trade Openness ◽  
Kuznets Curve ◽  
Per Capita ◽  
Environmental Kuznets Curve Hypothesis

Abstract This study investigates the validity of the Environmental Kuznets Curve hypothesis in Yemen and the causal relationships between Carbon dioxide emissions, per capita income, energy consumption, trade openness, and industrial share to GDP. ARDL bounds testing approach to cointegration, Error Correction Model, and Toda-Yamamoto procedure to Granger causality techniques were employed on annual data covering the period from 1990 to 2010. long run relationship between CO2 emissions and its determinants with significant effects for per capita GDP and trade openness, whereas, energy consumption and trade openness appear to be important determinants of CO2 emissions in the short run. Besides, based on Narayan and Narayan (2010) approach, it is found that the EKC hypothesis does not hold in Yemen and therefore the effect of per capita income on CO2 emissions is monotonically increasing. Toda-Yamamoto causality test proved the existence of bidirectional causal relationships between economic growth and CO2 emissions, between energy consumption and economic growth, and between trade openness and energy consumption

scholarly journals An empirical examination of the Environmental Kuznets Curve hypothesis for carbon dioxide emissions in Ghana: an ARDL approach

2016 ◽  
Vol 4 (4) ◽  
pp. 1-12 ◽  
Author(s):  
Daniel Kwabena Twerefou ◽  
Frank Adusah-Poku ◽  
William Bekoe
Keyword(s):  
Development Strategy ◽  
Carbon Dioxide Emissions ◽  
Environmental Kuznets Curve ◽  
Trade Openness ◽  
Kuznets Curve ◽  
Low Carbon ◽  
Ekc Hypothesis ◽  
Bounds Testing ◽  
Empirical Examination ◽  
Per Capita

AbstractThe Environmental Kuznets Curve (EKC) hypothesis postulates an inverted U-shaped relationship between different pollutants and economic growth. In Ghana, as in many other developing countries, there exist scanty studies that confirm or otherwise the EKC hypothesis with regards to CO2 emissions as well as the factors that drive CO2 emissions. This work aims to bridge this knowledge gap by addressing these two major questions using data from 1970 to 2010 and the Auto Regressive Distributed Lag (ARDL) Bounds Testing approach. The results rather suggest a U-shaped relationship between per capita GDP and CO2 emissions per capita indicating the non-existence of the EKC hypothesis for CO2 in Ghana. This implies that further increase in per capita Gross Domestic Product (GDP) will only be associated with increase in CO2 emissions as the income per capita turning point of about $624 at constant 2000 prices occurred between 1996 and 1997. Furthermore, our results reveal energy consumption and trade openness are positive long run drivers of CO2 emissions. It is therefore recommended that the enhancement of trade liberalization policies should ensure the use of cleaner technologies and products while investment in cleaner energy alternatives could help reduce CO2 emissions. We also recommend the implementation of the Low Carbon Development Strategy which integrates development and climate change mitigation actions.

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

Energies ◽  
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.

Sign in / Sign up

Export Citation Format

Share Document