Exploring the nexus between agriculture and greenhouse gas emissions in BIMSTEC region: The role of renewable energy and human capital as moderators

This research aimed to assess and implement the long- and short-run relationship of agriculture and environmental sustainability with control variables. Purposely, this research consolidated theoretical and conceptual principles to create a systematic structure in agriculture for the development of both sectors, i.e., agricultural and the environment. On this ground statement, this research was motivated to contemplate the relationship between carbon dioxide emission, agricultural production, gross domestic product, renewable energy consumption, and foreign direct investment using annual data series of Latin American and Caribbean countries from 1971 to 2018. Autoregressive distributed lag (ARDL) was used as an econometric methodology to examine the relationship among the variables. Agriculture is the most vulnerable sector in Latin American and Caribbean countries, and the economy is heavily dependent on it. The main results of this research indicated that agriculture and CO2 emissions were positively related to each other for the long and short run, which means that agricultural activities increased the CO2 emission levels. At the same time, the control variables showed mixed associations with environmental degradation as gross domestic product (GDP) was positively significant and renewable energy consumption was negatively significant. The error correction (ECt−1) term was negatively significant, confirming the long-run relationship and the speed of adjustment from short- to long-run equilibrium. Agricultural production and GDP led to increments in CO2 emissions, while renewable energy consumption negatively contributed to toxic emissions. The speed of adjustment in Latin American and Caribbean countries was nippy. It required 2.933 periods for the transformation from the short periodic phase to the long term. A comprehensive approach is the research debate rigorously and holistically based on divergent sectors of an economy and their relationship with environmental sustainability. The econometric method, symbolic system, and conceptual existence were designed originally.

Section: Resultssupporting

confidence: 73%

Repercussions of Sustainable Agricultural Productivity, Foreign Direct Investment, Renewable Energy, and Environmental Decay: Recent Evidence from Latin America and the Caribbean

Naseem

Hui

Sarfraz³

et al. 2021

“…Third, industrial agglomeration can promote ETFP by optimizing the industrial structure. Economic structure and economic activities can have an important impact on environmental pollution and carbon emissions (Ikram et al, 2021;Sharma et al, 2021), and further affect environmental sustainability (Rafique et al, 2021). industrial agglomeration causes enterprises to obtain innovation monopoly profits, and various departments will compete to increase R and D investment to improve production efficiency and production technology level, thereby promoting the adjustment of industrial structure from the supply side.…”

Section: Mechanism Analysismentioning

confidence: 99%

Can Industrial Agglomeration Facilitate Green Development? Evidence From China

Xie

2021

Industrial agglomeration can promote economic growth through knowledge spillover and cooperation, while it may also bring serious pollution problems. Therefore, clarifying the relationship between industrial agglomeration and green development is of great significance to the realization of China’s sustainable development. In order to study the causal relationship between industrial agglomeration and green development, this paper first adopts the Overall Malquist Index method to more accurately measure the green development of Chinese cities characterized by environmental total factor productivity (ETFP). Subsequently, this paper uses the panel data of prefecture-level cities from 2003 to 2016 to study the causal relationship between industrial agglomeration and green development. We found that China’s current industrial agglomeration can promote green development. Mechanism analysis shows that industrial agglomeration can promote green development through improving the technological innovation, strengthening government intervention and optimizing the industrial structure. Finally, heterogeneity analysis shows that industrial agglomeration has a stronger role in promoting green development in areas where the economy is more developed, the degree of resource dependence is lower, and the degree of industrial agglomeration is higher. This paper not only provides theoretical and policy references for the research on industrial agglomeration and green development, but also provides experience reference for other developing countries.

“…Secondly, environmental regulations negatively affect the location choices of pollution-intensive firms, which provided micro evidence to prove the pollution haven hypothesis (Wang et al, 2019;Shahzad, 2020;Shahzad et al, 2021). In contrast to previous studies that focused on the effects of single type of environmental regulation (Pan et al, 2021;Sharma et al, 2021;Zhou et al, 2021), this study found that the impact of market-based environmental regulations is better than that of command-and-control environmental regulation (Bashir et al, 2021). In addition, the market-based environmental regulations have a stronger impact on economically eastern developed regions, while command-and-control environmental regulations have a stronger impact on the economically backward western regions.…”

Section: Discussionmentioning

confidence: 58%

“…Therefore, environmental regulations are implemented by many developed countries and emerging economies government to reduce the excessive concentration of pollution-intensive firms and emissions of pollution. Such as Germany, France and Italy, which have adopted environmental taxes as the environmental regulation (Sharma et al, 2021), and Singapore, Korea, Thailand and Malaysia, which have adopted command-and-control and market-based environmental regulations to avoid their negative effects (Shahzad et al, 2021;Waris et al, 2021;Paramati et al, 2022). In this background, the influencing factors and economic effects of polluting industries have become the focus of multi-disciplinary study (Tole and Koop, 2011;Ramanathan et al, 2016;Liu 2019).…”

Section: Introductionmentioning

confidence: 99%

The Impact of Heterogeneous Environmental Regulations on Location Choices of Pollution-Intensive Firms in China

Tang

Dou

2021

The spatial transfer pattern and dynamic mechanisms of pollution-intensive industries are key issues for national and regional sustainable development. Although previous studies have emphasized the impact of environmental regulations on the transfer of pollution industries, there is a lack of firm-level analysis of the combined effects of different types of environmental regulations and other factors on them, which has led to the pollution haven hypothesis remaining contested. In order to provide micro evidence to test the pollution haven hypothesis, this paper reveals the temporal and spatial evolution of pollution-intensive foreign firms’ distribution in China, and explores the impact of heterogeneous environmental regulations on the location choices by using spatial analysis and zero-inflated negative binomial regression. The empirical results were as follows: Firstly, pollution-intensive foreign firms were highly concentrated in the eastern developed region and have a strong path dependency in China. Secondly, environmental regulations, especially the market-based environmental regulation, had a significant negative impact on the location choices of pollution-intensive foreign firms. Thirdly, the spatial distribution of pollution-intensive foreign firms was strongly influenced by new economic and geographic factors. Fourthly, pollution-intensive foreign firms have a significant pollution border effects in developed regions but not in economically less-developed regions due to transportation costs. The governments are expected to adopt heterogeneous environmental regulations based on the level of regional economic development to avoid the pollution haven phenomenon, thus achieving a sustainable development.