The effect of urbanization and industrialization on carbon emissions in Turkey: evidence from ARDL bounds testing procedure

Abstract

This paper examines the dynamic short- and long-term relationship between per capita GDP, per capita energy consumption, financial development, urbanization, industrialization, and per capita carbon dioxide (CO) emissions within the framework of the environmental Kuznets curve (EKC) hypothesis for Turkey covering the period from 1974 to 2013. According to the results of the autoregressive distributed lag bounds testing approach, an increase in per capita GDP, per capita energy consumption, financial development, urbanization, and industrialization has a positive effect on per capita CO emissions in the long term, and also the variables other than urbanization increase per capita CO emissions in the short term. In addition, the findings support the validity of the EKC hypothesis for Turkey in the short and long term. However, the turning points obtained from long-term regressions lie outside the sample period. Therefore, as the per capita GDP increases in Turkey, per capita CO emissions continue to increase.

The Effects of Foreign Direct Investment, Economic Growth, Industrial Structure, Renewable and Nuclear Energy, and Urbanization on Korean Greenhouse Gas Emissions

“…Pao and Tsai [2] BRICs (Brazil, Russia, India, China) 1992-2007 Panel Vector Error Correction Model Seker et al [3] Turkey 1974-2010 Autoregressive Distributive Lag (ARDL) Zhu et al [4] ASEAN (South East Asian Nations) Countries 1981-2011 Fixed effect panel quantile regression Behera and Dash [5] SSEA (South and Southeast Asian), 17 Recently, studies on the role of urbanization in GHG emissions have been actively conducted. According to Table A1, the studies on the effect of urbanization on CO 2 emissions include Martinez-Zarzoso and Maruotti [12], Zhu et al [13], Sadorsky [14], Dogan and Turkekul [15], Ali et al [16], He et al [17], Bekhet and Othman [18] and Pata [19,20]. Martinez-Zarzoso and Maruotti [12] investigated the effects of urbanization on GHG emissions for 88 developing countries over the period 1975-2003 using stochastic impacts by regression on population, affluence and technology (STIRPAT) model.…”

“…Dogan and Turkekul [15], and Ali et al [16] analyzed these effects for the US and Singapore, respectively, using autoregressive distributed lags (ARDL) model. In addition, He et al [17] analyzed these effects for China, Bekhet and Othman [18] for Malaysia and Pata [19,20] for Turkey. He et al [17], Bekhet and Othman [18], and Pata [19,20] used SPIRPAT, VECM, and ARDL models, respectively.…”

“…In addition, He et al [17] analyzed these effects for China, Bekhet and Othman [18] for Malaysia and Pata [19,20] for Turkey. He et al [17], Bekhet and Othman [18], and Pata [19,20] used SPIRPAT, VECM, and ARDL models, respectively. Among them, Ali et al [16] and Bekhet and Othman [18] have shown that urbanization reduces CO 2 emissions, while other studies show that urbanization increases CO 2 emissions.…”

“…Martinez-Zarzoso and Maruotti [12] 88 developing countries Stochastic Impacts by Regression on Population, Affluence and Technology (STIRPAT) model Zhu et al [13] 20 emerging economies 1992-2008 semi-parametric panel data model Sadorsky [14] Emerging economies 1971-2009 STIRPAT model Dogan and Turkekul [15] USA 1960-2010 Autoregressive distributed lags (ARDL) Ali et al [16] Singapore 1970-2015 Autoregressive distributed lags (ARDL) He et al [17] China, regional 1995-2013 STIRPAT model Bekhet and Othman [18] Malaysia 1971-2015 VECM Pata [19] Turkey 1974-2013 Autoregressive distributed lags (ARDL)…”

Testing Non-Linear Nexus between Service Sector and CO2 Emissions in Pakistan

“…The ARDL model was also extensively and successfully implemented in prior studies to investigate the inverted U-shaped relationship between economic growth and CO 2 emissions [76][77][78][79][80][81]. VI.…”