Effects of energy and economic growth on CO2 emissions: what does globalization matter?

Yi-Bin Chiu () and Wenwen Zhang ()
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Yi-Bin Chiu: Southwestern University of Finance and Economics, West Institute for Economic Research
Wenwen Zhang: Southwestern University of Finance and Economics, West Institute for Economic Research

Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, 2025, vol. 27, issue 12, No 10, 28710 pages

Abstract: Abstract Carbon dioxide emission has become a global issue, and its global impacts are even more pronounced with the deepening of globalization. In this context, this study investigates the non-linear role of globalization in the energy use-CO2 nexus and real income-CO2 nexus in 95 countries by utilizing the panel smooth transition regression model. The results show a negative effect of globalization on carbon dioxide emissions across 95 countries. Under a high level of globalization, we find that the more globalization is, the less carbon dioxide emissions are in countries with high and low income levels and in net energy exporters. A positive effect of globalization on carbon dioxide emissions is found in net energy importers. Energy use, real income, and investment have different impacts on carbon dioxide emissions under different levels of globalization.

Keywords: Carbon dioxide emissions; Economic growth; Energy consumption; Globalization; Non-linear model (search for similar items in EconPapers)
JEL-codes: C33 O13 Q43 Q53 (search for similar items in EconPapers)
Date: 2025
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DOI: 10.1007/s10668-022-02522-0

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