The Effects of Export Diversification and Concentration on Carbon Emissions: Asymmetric Evidence for Türkiye

Burcu Berke, Gülsüm Akarsu and Dilek Temiz

Prague Economic Papers, 2025, vol. 2025, issue 2, 214-249

Abstract: Numerous studies have explored the possible causes of global carbon emissions and climate change; however, the impact of export diversification and concentration on these emissions is a less examined topic in literature. This study investigates the effects of export diversification and concentration on carbon emissions in Türkiye from 1995 to 2018, utilizing the nonlinear ARDL method. The findings indicate that export diversification reduces carbon emissions after accounting for the effects of other control variables, such as renewable energy, levels of inequality, and government size. In this model, an increase in renewable energy, inequality, and government size leads to higher carbon emissions and worsens environmental quality, although the environmental Kuznets curve hypothesis is supported. Additionally, this study reveals that positive shocks in export concentration reduce carbon emissions, while negative shocks increase emissions. This hypothesis remains valid for the specified period in Türkiye, but the control variables display behavior similar to export diversification. The results suggest that mitigating climate change and improving environmental quality in Türkiye relies on policies that support export diversification and concentration.

Keywords: Export Diversification; Export Concentration; Carbon Emission; Türkiye; NARDL (search for similar items in EconPapers)
JEL-codes: C5 Q56 (search for similar items in EconPapers)
Date: 2025
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DOI: 10.18267/j.pep.891

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