Globalization and Climate Change: New Empirical Panel Data Evidence

Abstract

Abstract. Whether globalization is good or bad for the environment has been studied intensively in recent years. However, few studies have explicitly provided a general picture of globalization around the world or considered the rich dimensions of globalization outside of economic globalization. By applying the new KOF globalization index in a panel data sample of 166 countries over the 1990-2009 period, our results suggest that, on average, overall carbon emissions rise with higher levels of economic, social and political globalization, although the effect varies by OECD and non-OECD country group. After decomposing the main contributors of carbon emissions, our further data from the manufacturing and construction sector yield evidence consistent with a pollution haven effect in terms of climate change.

Investigating the environmental effect of globalization: Insights from selected industrialized countries

“…Specifically, a 1% increase in economic globalization is associated with about 0.21%-0.48% reduction in environmental degradation all other things being equal. This finding is in line with Lv and Xu (2018), but contradicts Bu, Lin and Zhang (2016) and Destek (2020). Both de facto and de jure dimensions of economic globalization are found to be relevant as they both have negative and statistically significant coefficients (Table 3).…”

“…Another group of studies raises doubt on the mitigating role of globalization in environmental degradation. On the contrary, this group argues that higher levels of globalization would cause further degradation of the environment as a result of the positive effect of globalization on environmental degradation (Bu, Lin and Zhang, 2016;Destek, 2020;Le and Ozturk, 2020;Phong, 2019;Sabir and Gorus, 2019).…”

“…Destek (2020) documents that, while political globalization has a favourable effect on the environment, social globalization has no significant effect, and environment degradation increases with rise in economic globalization. Bu, Lin and Zhang (2016) demonstrate that further degradation of the environment is associated with increase in economic, social and political globalization. Lv and Xu (2018) examine the environmental effect of economic globalization only and show that economic globalization reduces environmental degradation.…”

Precursors of Pollen Allergies: An Anthropo-Economic Perspective

“…'In the age of globalization climatic change is not only a natural phenomenon but it is also created by human beings who like to live in their own circle of happiness and prosperity without knowing its side effects from past history. (Bu, Lin, & Zhang, 2016)…”

Does the environmental Kuznets curve exist between globalization and energy consumption? Global evidence from the cross‐correlation method

“…The literature reviewed in this section displays an empirical linkage between globalization and energy demand within time series and panel frameworks. But the previous studies have generally suffered from various constraints (Bu, Lin, & Zhang, 2016), such as (a) most of them rarely consider a sufficiently large number of countries within a time series framework, with most samples consist of one or a few countries that do not provide a global perspective on the globalization-energy demand nexus policy; and (b) because energy demand is a global issue, it cannot be studied from a single lens of globalization. 4 Given that, there has been also a call for a methodological development to investigate the role of globalization on energy demand for countries with different income distributions (Smyth & Narayan, 2015).…”