CO2 EMISSIONS, ENERGY CONSUMPTION AND ECONOMIC GROWTH IN THE USA AND THE UNITED KINGDOM: ARDL APPROACH
Abstract
This study investigates the effects of energy consumption and the economic growth on the carbon dioxide emissions and causality in a multivariate model, which includes nuclear energy generation, foreign trade and urbanization variables, in the UK and the USA by employing data of 1960-2004. Cointegration test results support that there is a long-term relationship among the variables. While the economic growth in the UK has a positive effect on CO2 emissions in the short term and long term, the economic growth in the USA does not affect CO2 emissions. In both countries, there is a positive relationship between energy consumption and CO2 emissions and a negative relationship between nuclear energy generation and CO2 emissions. There is a unidirectional causality from CO2 to economic growth in the UK and from energy consumption to CO2 emissions in the USA. In both countries, we have detected no causal relationship between energy consumption and the economic growth.
Keywords
References
- Akarca, A.T., Long T.V., 1980. On the relationship between energy and GNP: a reexamination. Journal of Energy and Development, 5, 326–331.
- Ang, J. B., 2007. CO2 emissions, energy consumption, and output in France. Energy Policy 35, 4772-4778.
- Ang, J. B., 2008. Economic development, pollutant emissions and energy consumption in Malaysia. Journal of Policy Modeling, 30, 271–278.
- Apergis N., Payne J. E., 2009. CO2 emissions, energyusage,and output in Central America. Energy Policy, 37, 3282–3286.
- Apergis N., Payne J. E., 2010. The emissions, energy consumption, and growth nexus: Evidence from the commonwealth of independent states. Energy Policy, 38, 650–655.
- Bahmani-Oskooee, M., Nasir A., 2004. ARDL approach to test the productivity bias hypothesis. Review of Development Economic, 8, 483-488.
- Banerjee, A., Dolado, J., Mestre, R., 1998. Error-correction mechanism tests for cointegration in a single-equation framework. Journal of Time Series Analysis, 19, 267–283.
- Cheng, B.S.,1996. An investigation of cointegration and causality between energy consumption and economic growth. Journal of Energy and Development, 21, 73–84.
- Chontanawat, J., Hunt, L.C., Pierse, R., 2006. Causality between energy consumption and GDP: Evidence from 30 OECD and 78 non-OECD countries. Surrey Energy Economics Discussion Paper Series 113.
- Dinda S., Coondoo D., 2006. Income and emission: A panel data-based cointegration analysis. Ecological Economics, 57, 167– 181.
- Enders, W., 1995. Applied Econometric Time Series, first ed., Wiley, New York.
- Erol, U., Yu, E.S.H., 1987. On the relationship between electricity and income for industrialized countries. Journal of Electricity and Employment, 13, 113–122.
- Ghosh S., 2010. Examining carbon emissions economic growth nexus for India: A multivariate cointegration approach. Energy Policy, 38, 3008–3014.
Abstract
Bu çalışmada 1960-2004 arasında İngiltere ve ABD'de karbon emisyonlarının ekonomik büyüme ve enerji tüketimi üzerindeki etkileri ve nükleer enerji üretimi, dış ticaret ve şehirleşme değişkenleri dahil çok değişkenli bir model çerçevesinde nedensellik ilişkileri araştırılmıştır. Koentegrasyon test sonuçları söz konusu değişkenler arasında uzun dönem bir ilişkinin varlığını doğrulamaktadır. İngiltere'de ekonomik büyüme kısa ve uzun dönemde CO2 emisyonları üzerinde pozitif bir etkiye sahipken ABD'de ekonomik büyümenin CO2 emisyonları üzerinde bir etkisi bulunmamaktadır. Her iki ülkede de enerji tüketimi ve CO2 emisyonları arasında pozitif bir ilişki, nükleer enerji üretimi ve CO2 emisyonları arasında negatif bir ilişki vardır. İngiltere'de CO2'den ekonomik büyümeye, ABD'de ise enerji tüketiminden CO2 emisyonlarına tek yönlü bir nedensellik bulunmaktadır. Her iki ülkede de enerji tüketimi ve ekonomik büyüme arasında bir nedensellik ilişkisine rastlanamamıştır
Keywords
References
- Akarca, A.T., Long T.V., 1980. On the relationship between energy and GNP: a reexamination. Journal of Energy and Development, 5, 326–331.
- Ang, J. B., 2007. CO2 emissions, energy consumption, and output in France. Energy Policy 35, 4772-4778.
- Ang, J. B., 2008. Economic development, pollutant emissions and energy consumption in Malaysia. Journal of Policy Modeling, 30, 271–278.
- Apergis N., Payne J. E., 2009. CO2 emissions, energyusage,and output in Central America. Energy Policy, 37, 3282–3286.
- Apergis N., Payne J. E., 2010. The emissions, energy consumption, and growth nexus: Evidence from the commonwealth of independent states. Energy Policy, 38, 650–655.
- Bahmani-Oskooee, M., Nasir A., 2004. ARDL approach to test the productivity bias hypothesis. Review of Development Economic, 8, 483-488.
- Banerjee, A., Dolado, J., Mestre, R., 1998. Error-correction mechanism tests for cointegration in a single-equation framework. Journal of Time Series Analysis, 19, 267–283.
- Cheng, B.S.,1996. An investigation of cointegration and causality between energy consumption and economic growth. Journal of Energy and Development, 21, 73–84.
- Chontanawat, J., Hunt, L.C., Pierse, R., 2006. Causality between energy consumption and GDP: Evidence from 30 OECD and 78 non-OECD countries. Surrey Energy Economics Discussion Paper Series 113.
- Dinda S., Coondoo D., 2006. Income and emission: A panel data-based cointegration analysis. Ecological Economics, 57, 167– 181.
- Enders, W., 1995. Applied Econometric Time Series, first ed., Wiley, New York.
- Erol, U., Yu, E.S.H., 1987. On the relationship between electricity and income for industrialized countries. Journal of Electricity and Employment, 13, 113–122.
- Ghosh S., 2010. Examining carbon emissions economic growth nexus for India: A multivariate cointegration approach. Energy Policy, 38, 3008–3014.
Details
| Primary Language | English |
|---|---|
| Journal Section | Makaleler |
| Authors | |
| Publication Date | May 27, 2015 |
| Submission Date | May 27, 2015 |
| Published in Issue | Year 2015Volume: 16 Issue: 2 |
Cumhuriyet University Journal of Economics and Administrative Sciences is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License (CC BY NC).