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The environmental Kuznets curve for carbon dioxide in India and China: Growth and pollution at crossroad

Debdatta Pal and Subrata Kumar Mitra

Journal of Policy Modeling, 2017, vol. 39, issue 2, 371-385

Abstract: This study probes cointegration among carbon dioxide (CO2) emissions, economic activity, energy use, and trade, and examines the environmental Kuznets curve (EKC) hypothesis. We undertake a comparative analysis between India and China over the period 1971–2012 by using the autoregressive distributed lag model of Pesaran et al. (2001). This study establishes a long-run effect of economic activity and trade openness and a short-run effect of energy use on CO2 emissions. It shows the N-shaped relationship between CO2 emissions and economic activity, a departure from the EKC hypothesis. The study ends with policy advisory for balancing between growth and environment.

Keywords: Carbon emission; EKC; Economic activity; Energy use (search for similar items in EconPapers)
JEL-codes: Q43 Q56 (search for similar items in EconPapers)
Date: 2017
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (64)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:jpolmo:v:39:y:2017:i:2:p:371-385

DOI: 10.1016/j.jpolmod.2017.03.005

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