CO2 emissions,energy consumption and economic growth in Turkey

This paper examines the long run and causal relationship issues between economic growth, carbon emissions, energy consumption and employment ratio in Turkey by using autoregressive distributed lag bounds testing approach of cointegration. Empirical results for Turkey over the period 1968–2005 suggest an evidence of a long-run relationship between the variables at 5% significance level in Turkey. The estimated income elasticity of carbon emissions per capita is ?0.606 and the income elasticity of energy consumption per capita is 1.375. Results for the existence and direction of Granger causality show that neither carbon emissions per capita nor energy consumption per capita cause real GDP per capita, but employment ratio causes real GDP per capita in the short run. In addition, EKC hypothesis at causal framework by using a linear logarithmic model is not valid in Turkish case. The overall results indicates that energy conservation policies, such as rationing energy consumption and controlling carbon dioxide emissions, are likely to have no adverse effect on the real output growth of Turkey.     

An econometric study of CO2 emissions,energy consumption,income and foreign trade in Turkey

This study attempts to empirically examine the dynamic causal relationships between carbon emissions, energy consumption, income, and foreign trade in the case of Turkey using the time-series data for the period 1960–2005. This research tests the interrelationship between the variables using the bounds testing to cointegration procedure. The bounds test results indicate that there exist two forms of long-run relationships between the variables. In the case of first form of long-run relationship, carbon emissions are determined by energy consumption, income and foreign trade. In the case of second long-run relationship, income is determined by carbon emissions, energy consumption and foreign trade. An augmented form of Granger causality analysis is conducted amongst the variables. The long-run relationship of CO₂ emissions, energy consumption, income and foreign trade equation is also checked for the parameter stability. The empirical results suggest that income is the most significant variable in explaining the carbon emissions in Turkey which is followed by energy consumption and foreign trade. Moreover, there exists a stable carbon emissions function. The results also provide important policy recommendations.     

Environment Kuznets curve for CO2 emissions: A cointegration analysis for China

This study examines the long-run relationship between carbon emissions and energy consumption, income and foreign trade in the case of China by employing time series data of 1975–2005. In particular the study aims at testing whether environmental Kuznets curve (EKC) relationship between CO₂ emissions and per capita real GDP holds in the long run or not. Auto regressive distributed lag (ARDL) methodology is employed for empirical analysis. A quadratic relationship between income and CO₂ emission has been found for the sample period, supporting EKC relationship. The results of Granger causality tests indicate one way causality runs through economic growth to CO₂ emissions. The results of this study also indicate that the carbon emissions are mainly determined by income and energy consumption in the long run. Trade has a positive but statistically insignificant impact on CO₂ emissions.     

Determinants of carbon dioxide emissions: Empirical evidence from 69 countries

This study investigates the determinants of carbon dioxide emissions (CO₂) for a global panel consisting of 69 countries using a dynamic panel data model. To make the panel data analysis more homogenous, we also investigate the determinants of CO₂ emissions for a number of sub-panels. These sub-panels are constructed based on the income level of countries. In this way, we end up with three income panels; namely, high income, middle income, and low income panels. The time component of our dataset is 1985–2005 inclusive. Our main findings are that trade openness, per capita GDP, and energy consumption, proxied by per capita electric power consumption and per capita total primary energy consumption, have positive effects on CO₂ emissions. Urbanisation is found to have a negative impact on CO₂ emissions in high income, middle income, and low income panels. For the global panel, only GDP per capita and per capita total primary energy consumption are found to be statistically significant determinants of CO₂ emission, while urbanisation, trade openness, and per capita electric power consumption have negative effects on the CO₂ emissions.     

The relationship between CO2 emissions,energy consumption and economic growth in Italy

This study examines the relationship between CO₂ emissions, energy consumption and economic growth in Italy over the period 1970–2006. Results of unit root tests show that all variables are non-stationary in their level form, but stationary in first differences form. The causal relationship between variables is examined using causality test in a vector autoregressive framework. Our empirical results show that CO₂ emissions, energy consumption and economic growth are not cointegrated. Moreover, the Toda and Yamamoto Granger non-causality test shows a bidirectional causality between CO₂ emissions and economic growth, as well as between CO₂ emissions and energy consumption. Forecast error variance decompositions evidence that the errors in real per capita GDP are mainly due to uncertainty in GDP itself, while the errors in predicting the energy consumption and the CO₂ emissions are sensitive to disturbances in the other two equations.     

Energy consumption-economic growth relationship and carbon dioxide emissions in China

This paper applies the panel unit root, heterogeneous panel cointegration and panel-based dynamic OLS to re-investigate the co-movement and relationship between energy consumption and economic growth for 30 provinces in mainland China from 1985 to 2007. The empirical results show that there is a positive long-run cointegrated relationship between real GDP per capita and energy consumption variables. Furthermore, we investigate two cross-regional groups, namely the east China and west China groups, and get more important results and implications. In the long-term, a 1% increase in real GDP per capita increases the consumption of energy by approximately 0.48–0.50% and accordingly increases the carbon dioxide emissions by about 0.41–0.43% in China. The economic growth in east China is energy-dependent to a great extent, and the income elasticity of energy consumption in east China is over 2 times that of the west China. At present, China is subject to tremendous pressures for mitigating climate change issues. It is possible that the GDP per capita elasticity of carbon dioxide emissions would be controlled in a range from 0.2 to 0.3 by the great effort.     

The causal relationship between energy consumption and GDP in Albania,Bulgaria, Hungary and Romania: Evidence from ARDL bound testing approach

The purpose of this study is to investigate the causal relationship between energy and economic growth in Albania, Bulgaria, Hungary and Romania from 1980 to 2006 by employing energy use per capita, electric power consumption per capita and real GDP per capita variables. To examine this linkage, we use the two-step procedure from the Engle and Granger model: In first step, we explore the long-run relationships between the variables by using recently developed autoregressive distributed lag (ARDL) bounds testing approach of cointegration. Secondly, we employ a dynamic vector error correction (VEC) model to test causal relationships between variables. The bounds test yields evidence of a long-run relationship between energy use per capita and real GDP per capita and evidence of two-way (bidirectional) strong Granger causality between these variables only in Hungary. On the other hand, the ARDL bounds test results show that there is no a unique long-term or equilibrium relationship between energy consumption variables and real GDP per capita in Albania, Bulgaria and Romania. In other words, no cointegration exists between these variables in these three countries. The econometric analysis suggests that any causal relationships within dynamic error correction model for Albania, Bulgaria and Romania cannot be estimated.     

Panel estimation for CO2 emissions,energy consumption,economic growth,trade openness and urbanization of newly industrialized countries

This paper empirically examines the dynamic causal relationships between carbon dioxide emissions, energy consumption, economic growth, trade openness and urbanization for the panel of newly industrialized countries (NIC) using the time series data for the period 1971–2007. Using four different panel unit root tests it is found that all panel variables are integrated of order 1. From the Johansen Fisher panel cointegration test it is found that there is a cointegration vector among the variables. The Granger causality test results support that there is no evidence of long-run causal relationship, but there is unidirectional short-run causal relationship from economic growth and trade openness to carbon dioxide emissions, from economic growth to energy consumption, from trade openness to economic growth, from urbanization to economic growth and from trade openness to urbanization. It is found that the long-run elasticity of carbon dioxide emissions with respect to energy consumption (1.2189) is higher than short run elasticity of 0.5984. This indicates that over time higher energy consumption in the newly industrialized countries gives rise to more carbon dioxide emissions as a result our environment will be polluted more. But in respect of economic growth, trade openness and urbanization the environmental quality is found to be normal good in the long-run.     

Energy consumption,CO2 emissions,and development in the UAE

This study investigated the impact of energy consumption and CO₂ emissions on the United Arab Emirates (UAE)’s economic and financial development. The vector autoregressive (VAR) model was applied. The results obtained in the study show that energy consumption and CO₂ emissions had a long-run relationship with the economic and financial development indicators in the UAE. It was also found that there was a significant causal relationship between energy consumption and CO₂ emissions on both economic and financial development indicator variables. The UAE is well known for its high economic and financial development owing to the fact that this country has achieved a fast economic growth in the last three decades. However, it is important that this country needs to increase its consumption of green energy to reduce CO₂ emissions.     

The role of trade and FDI for CO2 emissions in Turkey: Nonlinear relationships

This paper examines the effects of foreign trade and foreign direct investment (FDI) on CO₂ emissions in Turkey. We consider linear and nonlinear ARDL models and find significant asymmetric effects of exports, imports and FDI on CO₂ emissions per capita. However, FDI has no statistically significant long-run effects. In the long run, decreases in exports reduce CO₂ emissions per capita but increases in exports have no statistically significant effects. Increases in imports push up CO₂ emissions per capita, while decreases in imports have no long-run effects. On the other hand, CO₂ intensity, which measures CO₂ emissions per unit of energy, is not influenced by exports and imports, nor by FDI. Instead, it is affected positively by financial development and urbanization. Also, we find that an environmental Kuznets curve is present for both CO₂ measures so that increases in real GDP per capita have led to reductions in CO₂ emissions for at least the most recent decade, controlling for other confounding factors. Furthermore, the sectoral shares of CO₂ emissions in total CO₂ emissions change asymmetrically with foreign trade for two of four sectors, with export increases leading to lower CO₂ shares and imports having the opposite effect.     

The impact of energy consumption and economic development on Ecological Footprint and CO2 emissions: Evidence from a Markov Switching Equilibrium Correction Model

Reducing the impact of air pollution and global environmental degradation on human health and quality of life for Qatari citizens represents the most important objective of the Qatar National vision 2030. With respect to this vision, this study investigates the effects of economic growth, energy consumption, trade openness, urbanization and financial development on environmental degradation by using the Markov Switching Equilibrium Correction Model with shifts in both the intercept and income per capita slope for the period 1970–2015. Unlike existing studies and in addition to the CO₂ emissions pollutant, this paper uses the total Ecological Footprint and Ecological Carbon Footprint as new proxies of environmental degradation.Empirical results show strong evidence for cointegration with Markov shifts. In particular, our results show that the non-control for breaks can hide the true relationship among variables. The results show also that when controlling for breaks the Environment Kuznets curve (EKC) hypothesis holds for the  CO₂ emissions and Ecological carbon Footprint pollutants and the U-shaped behavior holds for the total Ecological Footprint. Moreover, the results show that these two behaviors (EKC and U-shaped) are regime dependent. Regarding the other explanatory variables, the results show that trade openness and urbanization worsen Ecological Footprint. However, the electricity consumption and financial development are positively related to the Ecological Footprint and negatively related to Ecological Carbon Footprint and CO₂ emissions. Finally, we found evidence for the growth hypothesis for both pollutants. Based on these results, a detailed economic, energy and environmental policy is proposed and discussed for the case of Qatar.     

CO2 emissions,nuclear energy,renewable energy and economic growth in the US

This study explores the causal relationship between carbon dioxide (CO₂) emissions, renewable and nuclear energy consumption and real GDP for the US for the period 1960–2007. Using a modified version of the Granger causality test, we found a unidirectional causality running from nuclear energy consumption to CO₂ emissions without feedback but no causality running from renewable energy to CO₂ emissions. The econometric evidence seems to suggest that nuclear energy consumption can help to mitigate CO₂ emissions, but so far, renewable energy consumption has not reached a level where it can make a significant contribution to emissions reduction.     

Economic growth,energy conservation and emissions reduction: A comparative analysis based on panel data for 8 Asian-Pacific countries

This study was conducted to evaluate the causality between energy consumption, GDP growth and carbon emissions for eight Asia-Pacific countries from 1971 to 2005 using the panel data. The results indicate that there are long-run equilibrium relationships between these variables. Additionally, causality from energy consumption to CO₂ emissions was observed generally, but there were some opposite relationships also. Parameter estimations of the panel data model indicate that there are great differences in the carbon emissions, the efficiencies of energy use, carbon emissions of unit GDP and unit energy consumption between developed and developing countries. The base carbon emissions, per capita energy consumption and efficiency of energy use in developing countries are far lower than in developed countries; however, the CO₂ emissions per unit of energy use is higher. Although developing countries may reduce their CO₂ emission per unit energy use, total energy consumption will rise rapidly with economic development. Thus, developing countries must determine how to undergo economic growth while conserving energy and reducing emissions. To respond to global climate change, it is necessary to develop innovative technology for energy use, transform the energy structure and conduct the clean development mechanism.     

CO2 emissions,energy usage,and output in Central America

This study extends the recent work of Ang (2007) [Ang, J.B., 2007. CO₂ emissions, energy consumption, and output in France. Energy Policy 35, 4772–4778] in examining the causal relationship between carbon dioxide emissions, energy consumption, and output within a panel vector error correction model for six Central American countries over the period 1971–2004. In long-run equilibrium energy consumption has a positive and statistically significant impact on emissions while real output exhibits the inverted U-shape pattern associated with the Environmental Kuznets Curve (EKC) hypothesis. The short-run dynamics indicate unidirectional causality from energy consumption and real output, respectively, to emissions along with bidirectional causality between energy consumption and real output. In the long-run there appears to be bidirectional causality between energy consumption and emissions.     

The relationship between pollutant emissions,renewable energy,nuclear energy and GDP: empirical evidence from 18 developed and developing countries

This document investigates the causal relationship between nuclear energy (NE), pollutant emissions (CO₂ emissions), gross domestic product (GDP) and renewable energy (RE) using dynamic panel data models for a global panel consisting of 18 countries (developed and developing) covering the 1990–2013 period. Our results indicate that there is a co-integration between variables. The unit root test suggests that all the variables are stationary in first differences. The paper further examines the link using the Granger causality analysis of vector error correction model, which indicates a unidirectional relationship running from GDP per capita to pollutant emissions for the developed and developing countries. However, there is a unidirectional causality from GDP per capita to RE in the short and long run. This finding confirms the conservation hypothesis. Similarly, there is no causality between NE and GDP per capita.     

The emissions,energy consumption,and growth nexus: Evidence from the commonwealth of independent states

This study examines the causal relationship between carbon dioxide emissions, energy consumption, and real output within a panel vector error correction model for eleven countries of the Commonwealth of Independent States over the period 1992–2004. In the long-run, energy consumption has a positive and statistically significant impact on carbon dioxide emissions while real output follows an inverted U-shape pattern associated with the Environmental Kuznets Curve (EKC) hypothesis. The short-run dynamics indicate unidirectional causality from energy consumption and real output, respectively, to carbon dioxide emissions along with bidirectional causality between energy consumption and real output. In the long-run there appears to be bidirectional causality between energy consumption and carbon dioxide emissions.     

The impact of growth, energy and financial development on the environment in China: A cointegration analysis

This article aims to investigate the impact of financial development, economic growth and energy consumption on environmental pollution in China from 1953 to 2006 using the Autoregressive Distributed Lag (ARDL) bounds testing procedure. The main objective is to examine the long run equilibrium relationship between financial development and environmental pollution. The results of the analysis reveal a negative sign for the coefficient of financial development, suggesting that financial development in China has not taken place at the expense of environmental pollution. On the contrary, it is found that financial development has led to a decrease in environmental pollution. It is concluded that carbon emissions are mainly determined by income, energy consumption and trade openness in the long run. Moreover, the findings confirm the existence of an Environmental Kuznets Curve in the case of China.     

Economic growth,energy consumption and CO2 emissions in India: a disaggregated causal analysis

This study examines the long-run and short-run causal relationships among energy consumption, real gross domestic product (GDP) and CO₂ emissions using aggregate and disaggregate (sectoral) energy consumption measures utilising annual data from 1971 to 2011. The autoregressive distributed lag bounds test reveals that there is a long-run relationship among the variables concerned at both aggregate and disaggregate levels. The Toda–Yamamoto causality tests, however, reveal that the long-run as well short-run causal relationship among the variables is not uniform across sectors. The weight of evidences of the study indicates that there is short-run causality from electricity consumption to economic growth, and to CO₂ emissions. The results suggest that India should take appropriate cautious steps to sustain high growth rate and at the same time to control emissions of CO₂. Further, energy and environmental policies should acknowledge the sectoral differences in the relationship between energy consumption and real gross domestic product.     

Trade and energy consumption in the Middle East

Over the past 30 years many economies have experienced large increases in economic trade, income and energy consumption. This brings up an interesting question. How do increases in trade affect energy consumption? This study uses panel cointegration data estimation techniques to examine the impact of trade on energy consumption in a sample of 8 Middle Eastern countries covering the period 1980 to 2007. Short-run dynamics show Granger causality from exports to energy consumption, and a bi-directional feedback relationship between imports and energy consumption. Long run elasticities estimated from FMOLS show that a 1% increase in per capita exports increases per capita energy consumption by 0.11% while a one percent increase in per capita imports increases per capita energy consumption by 0.04%. These results are important in establishing that increased trade affects energy demand in the Middle East in both the short and long-run. This has implications for energy policy and environmental policy.     

Estimation of real GDP and unrecorded economy in Turkey based on environmental data

This paper estimates the real gross domestic product (GDP) and unrecorded economy for Turkey using the Kalman filter technique. Using different tests, most of the research articles on energy policy investigate the causal relationship between energy consumption and GDP for different countries. On the other hand, other studies on climate change try to show the effects of both energy consumption and GDP on carbon dioxide (CO₂) emission. Since the unreported economy has an important weight in developing countries where the recorded (or official) GDP suffers from considerable measurement problems, investigation of the relationship between the recorded GDP and energy consumption may lead to biased results. In this paper, the economic variables (GDP, country population) as well as environmental variables (CO₂ emission, forest area) are used in order to estimate GDP, which is an unobserved variable in our model. The results clearly indicate that: first, the true GDP in Turkey, that our model estimates, is higher than the observed (recorded) GDP in the whole period of observation (1973–2003) and the size of unrecorded economy varies between 12 and 30 percent of the observed GDP; second, the gap between the true GDP and the observed GDP has an increasing trend; third, if the change in GDP per primary energy supply is smaller than the change in CO₂ per primary energy supply, then there may exist unrecorded economy.