2020
DOI: 10.3390/su122410258
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Nonlinearity between CO2 Emission and Economic Development: Evidence from a Functional Coefficient Panel Approach

Abstract: This paper investigates the nonlinear relationship between CO2 emission and economic development using a newly developed functional coefficient panel model. In contrast to the existing literature, which suggests that the income elasticity of CO2 emission is parametrically modeled as a function of income, the income coefficient of CO2 emission is set as a function of both income and time. Then, we estimate the income elasticity in a nonparametric way using the country panel data covering 1971–2017. By doing so,… Show more

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Cited by 4 publications
(1 citation statement)
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“…He et al [47] conduct an input-output analysis of CO 2 emissions and suggest that energy and the input effectiveness of production processes should be improved to reduce carbon emissions in the energy sector. Nam, Lee, and Jeon [48] analyze the non-linear connection between CO 2 emissions and economic development. In contrast to the existing literature, the model developed defines the income coefficient of CO 2 emission as a function of both income and time.…”
Section: Co 2 Emissions Managementmentioning
confidence: 99%
“…He et al [47] conduct an input-output analysis of CO 2 emissions and suggest that energy and the input effectiveness of production processes should be improved to reduce carbon emissions in the energy sector. Nam, Lee, and Jeon [48] analyze the non-linear connection between CO 2 emissions and economic development. In contrast to the existing literature, the model developed defines the income coefficient of CO 2 emission as a function of both income and time.…”
Section: Co 2 Emissions Managementmentioning
confidence: 99%