Journal ArticleDOI
The impacts of transport energy consumption, foreign direct investment and income on CO2 emissions in ASEAN-5 economies
Vgr Chandran,Chor Foon Tang +1 more
TLDR
In this article, the impact of transportation sector's energy consumption and foreign direct investment on CO2 emissions for ASEAN-5 economies using the cointegration and Granger causality methods was investigated.Abstract:
In this study, we incorporate new variables and assess the impact of transportation sector's energy consumption and foreign direct investment on CO2 emissions for ASEAN-5 economies using the cointegration and Granger causality methods. This study also attempts to validate the Environmental Kuznets Curve (EKC) hypothesis. Our results reveal that the CO2 emissions and their determinants are co-integrated only in Indonesia, Malaysia and Thailand. The long-run elasticity estimation suggests that income and transport energy consumption significantly influence CO2 emissions whereas FDI is not significant. Economic growth plays a greater role in contributing to CO2 emission in ASEAN-5. Nonetheless, we find that the inverted U-shape EKC hypothesis is not applicable to the ASEAN-5 economies, especially in Indonesia, Malaysia and Thailand. In the long run, the bi-directional causality between economic growth and CO2 emissions is detected in Indonesia and Thailand, while we find unidirectional causality running from GDP to CO2 emissions in Malaysia. We also observe bi-directional causality between transport energy consumption, FDI and CO2 emissions in Thailand and Malaysia. As an immediate policy option, controlling energy consumption in transportation sector may result in a significant reduction in CO2 emissions. However, this may slow the process of economic growth in Malaysia and Indonesia. Alternatively, we suggest policymakers to place more emphasis on energy efficient transportation system and policies to minimise fossil fuel consumption. Thus, the quality of environment can be improved with less deleterious impact on economic growth.read more
Citations
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Journal ArticleDOI
CO2 emissions, real output, energy consumption, trade, urbanization and financial development: testing the EKC hypothesis for the USA
Eyup Dogan,Berna Türkekul +1 more
TL;DR: There is enough evidence to support one-way causality running from GDP to energy consumption, from financial development to output, and from urbanization to financial development, and the US government should take into account the importance of trade openness, urbanization, and financial development in controlling for the levels of GDP and pollution.
Journal ArticleDOI
Determinants of CO2 emissions in the European Union: The role of renewable and non-renewable energy
Eyup Dogan,Fahri Seker +1 more
TL;DR: In this article, the authors investigated the impacts of renewable and non-renewable energy, real income and trade openness on CO2 emissions in the Environmental Kuznets Curve (EKC) model for the European Union over the period 1980-2012 by employing panel estimation techniques robust to cross-sectional dependence.
Journal ArticleDOI
Environmental Degradation in France: The Effects of FDI, Financial Development, and Energy Innovations
TL;DR: This article explored the determinants of carbon emissions in France by accounting for the significant role played by foreign direct investment (FDI), financial development, economic growth, energy consumption and energy research innovations in influencing CO2 emissions function.
Journal ArticleDOI
Investigating the environmental Kuznets curve hypothesis in Vietnam
TL;DR: In this article, the authors investigated the existence of the environmental Kuznets curve (EKC) hypothesis in Vietnam during the period 1981-2011 and established a pollution model by applying the Autoregressive Distributed Lag (ARDL) methodology.
Journal ArticleDOI
The effects of FDI, economic growth and energy consumption on carbon emissions in ASEAN-5: Evidence from panel quantile regression
TL;DR: In this paper, the authors investigated the impact of foreign direct investment, economic growth and energy consumption on carbon emissions in five selected member countries in the Association of South East Asian Nations (ASEAN-5), including Indonesia, Malaysia, the Philippines, Singapore and Thailand.
References
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Journal ArticleDOI
Co-integration and Error Correction: Representation, Estimation and Testing
TL;DR: The relationship between co-integration and error correction models, first suggested in Granger (1981), is here extended and used to develop estimation procedures, tests, and empirical examples.
Journal ArticleDOI
Statistical analysis of cointegration vectors
TL;DR: In this paper, the authors consider a nonstationary vector autoregressive process which is integrated of order 1, and generated by i.i.d. Gaussian errors, and derive the maximum likelihood estimator of the space of cointegration vectors and the likelihood ratio test of the hypothesis that it has a given number of dimensions.
Journal ArticleDOI
Maximum likelihood estimation and inference on cointegration — with applications to the demand for money
Søren Johansen,Katarina Juselius +1 more
TL;DR: In this paper, the estimation and testing of long-run relations in economic modeling are addressed, starting with a vector autoregressive (VAR) model, the hypothesis of cointegration is formulated as a hypothesis of reduced rank of the long run impact matrix.
Maximun likelihood estimation and inference on cointegration - With applications to the demand for money
Søren Johansen,Katarina Juselius +1 more
Book
Likelihood-Based Inference in Cointegrated Vector Autoregressive Models
TL;DR: In this paper, a detailed mathematical and statistical analysis of the cointegrated vector autoregresive model is given, with the main emphasis on the derivation of estimators and test statistics through a consistent use of the Guassian likelihood function.
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