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

Date
2009
Authors
Jalil, A.
Mahmud, S. F.
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Source Title
Energy Policy
Print ISSN
0301-4215
Electronic ISSN
1873-6777
Publisher
Elsevier Ltd
Volume
37
Issue
12
Pages
5167 - 5172
Language
English
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Abstract

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. © 2009 Elsevier Ltd. All rights reserved.

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