Nexus between Greenhouse Gas Emissions, Energy Use and Economic Growth: Empirical Evidence From South Asian Countries

Abstract

This article explores the nexus between three measures of greenhouse gases (CO 2 , N 2 O and CH 4 ) with economic growth (GDP) and energy use for six South Asian countries (Pakistan, India, Nepal, Bangladesh, Sri-Lanka and Bhutan) by using panel ARDL approach from 1990 to 2017. The paper evaluates the three panel models of nitrous oxide (N 2 O), carbon dioxide (CO 2 ) and methane (CH 4 ) and studies the relationships with energy use and GDP in the context of (Environmental Kuznets curve) EKC. This study shows non-linear relation of CO 2 with GDP as well as of N 2 O with GDP hence proves the presence of EKC in long run. The analysis of the study shows the positive significant impact of CO 2 on GDP and energy use in long. In case of short run, the relationship of CO 2 with energy use is significant at 10% level. In case of methane model for long run, there is negative relationship between CH4 and energy use however, there is positive significant impact between CH 4 and GDP. However, there has been negative relationship of N 2 O with energy use and positive insignificant relationship with GDP.

Financial Institutional and Market Deepening, and Environmental Quality Nexus: A Case Study in G-11 Economies Using CS-ARDL

“…Furthermore, neglecting heterogeneity in the slope coefficients could lead to bias [81]. Hence, following the studies of [8,79,81], this study employs the test devised by [82] to verify the heterogeneity in the slope parameters. The results obtained from the Pesaran and Yamagata, 2008 test, as shown in Table 4, reveal that there exists diversity in the slope variables, suggesting considerable disparity in the G-11 countries.…”

“…This is obvious from the increasing global ocean and air average temperatures, ice and snow melting, and rising sea levels [1,2]. Apart from these, changing climate patterns also effect natural resources, ecosystems, and human wellbeing [3][4][5][6][7][8]. The increase in temperature is associated with increased concentrations of carbon dioxide (CO 2 ), resulting in the deterioration of environmental quality [7,[9][10][11].…”

“…Moreover, there are some other drivers that contribute to environmental deterioration, particularly in the developing world, e.g., economic growth, globalization, energy use, urbanization, transportation, industrial activities, and population [7,8,20,21]. These drivers have devastating environmental consequences.…”

Can Financial Institutional Deepening and Renewable Energy Consumption Lower CO2 Emissions in G-10 Countries: Fresh Evidence from Advanced Methodologies

“…The GPD of Japan, Germany, United Kingdom, France, Italy, and Canada is ranked 3rd, 4th, 5th, 7th, 8th, and 9th, respectively, in the world. Several studies focused on the association between GDP and CO 2 e in different regions across the world producing different results [3,7,[29][30][31][32]. For example, [9] found an increase in GDP and imports leads to an increase in CO 2 e in G-7 countries.…”