Investigation of Causality Analysis between Economic Growth and CO2 Emissions: The Case of BRICS T Countries

Seyfettin Erdo An, Durmu a r Y ld r M and Ayfer Gedikli
Additional contact information
Seyfettin Erdo An: Istanbul Medeniyet University, Turkey,
Durmu a r Y ld r M: Tekirda Nam k Kemal University, Turkey
Ayfer Gedikli: Istanbul Medeniyet University, Turkey,

International Journal of Energy Economics and Policy, 2019, vol. 9, issue 6, 430-438

Abstract: The most significant cost of increase in economic growth is an increase in energy consumption and carbon emissions as well. Energy consumption triggers carbon dioxide emissions, which is the main cause of environmental pollution. In recent years, struggling with climate changes, global warming and carbon dioxide emissions based environmental problems became critical issues. In doing so, this study investigates the relationship between carbon emissions and economic growth for BRICS-T countries for the period of 1992-2016. We apply Pedroni and, Westerlund and Edgerton panel cointegration approaches for examining cointegration between the variabes. The FMOLS approach is applied for testing long-term relationship between economic growth and carbon emissions. The empirical results indicate that a 1% increase in economic growth increases carbon emissions by 0.79% but 1% increase in carbon emissions leads economic growth by 0.5%. The causality analysis reveals the presence of bidirectional relationship between carbon emissions and economic growth.

Keywords: Carbon Emissions; Economic Growth; BRICS-T Countries (search for similar items in EconPapers)
JEL-codes: O10 P52 (search for similar items in EconPapers)
Date: 2019
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (7)

Downloads: (external link)
https://www.econjournals.com/index.php/ijeep/article/download/8546/4677 (application/pdf)
https://www.econjournals.com/index.php/ijeep/article/view/8546/4677 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eco:journ2:2019-06-52

Access Statistics for this article

International Journal of Energy Economics and Policy is currently edited by Ilhan Ozturk

More articles in International Journal of Energy Economics and Policy from Econjournals
Bibliographic data for series maintained by Ilhan Ozturk (ilhanozturk@yahoo.com).