CO2 emissions, energy consumption and economic growth in the ASEAN-5 countries: A cross-sectional dependence approach

By Qaiser Munir, Hooi Hooi Lean, Russell Smyth *. Energy Economics, 2020

378 citations recorded by the source corpus.

We re-examine the relationship between CO2 emissions, energy consumption (EC) and economic growth (GDP) for the five main Association of Southeast Asian Nations (ASEAN-5) countries over the period 1980–2016. Our main contention is that the findings in previous studies that have examined the relationship between CO2, EC and GDP in the ASEAN-5 are biased because they fail to account for cross-sectional dependence (CD). We show that conventional tests applied to our dataset suggest a misleading conclusion about the Environmental Kuznets Curve (EKC) and Granger causal relationship between CO2, EC and GDP in the presence of CD. When we apply a new panel test of Granger non-causality that addresses CD and heterogeneity, we find considerable heterogeneity. We find unidirectional Granger causality running from GDP to CO2 for Malaysia, the Philippines, Singapore and Thailand; unidirectional causality running from GDP to EC in Indonesia, Malaysia and Thailand; unidirectional causality running from EC to GDP in Singapore and bidirectional causality between GDP and EC in the Philippines. We also find support for the EKC hypothesis for the ASEAN-5 countries.

Subfields: Economics and Econometrics, Environmental Engineering, Renewable Energy, Sustainability and the Environment

View Paper: https://www.semanticscholar.org/paper/a71a1dd3ed825091232ecd792da19640c4d4c3e2

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In Economics and Econometrics

1. Muntasir Murshed
2. Zeeshan Khan
3. Kangyin Dong
4. Siqun Yang
5. M. H. Chadni
6. Jannatul Ferdaus

In Environmental Engineering

1. Muntasir Murshed
2. Zeeshan Khan
3. Kangyin Dong

In Renewable Energy, Sustainability and the Environment

1. Zeeshan Khan
2. Muntasir Murshed
3. Siqun Yang
4. Kangyin Dong
5. M. H. Chadni
6. Jannatul Ferdaus

Citations in the corpus

• The roles of export diversification and composite country risks in carbon emissions abatement: evidence from the signatories of the regional comprehensive economic partnership agreement (2021, background): “…have also pledged to undertake local and international policies, under the 2030 Sustainable Development Goals (SDG) agenda of the United Nations, to ensure economic, social, and environmental sustainability across the globe (Kumar, Kumar, and Vivekadhish 2016; Leal Filho et al. 2018; Murshed 2021).”