Environment-energy-growth nexus in Sub-Saharan Africa: The role of intermediate goods

Mohamed Amine Boutabba, Diadié Diaw () and Albert Lessoua

International Economics, 2018, issue 156, 254-267

Abstract: This paper examines the way trade in intermediate goods may influence carbon emissions using data from 17 Sub-Saharan African countries for 1995–2013. Previous studies have discussed carbon emission drivers, but little attention has been paid to the contribution of trade in intermediate goods, which involve international production fragmentation. Using time-series techniques, our results reveal that trade in intermediate goods is a mitigating factor in carbon emissions for a panel of Sub-Saharan African countries. There is evidence here to support the Environmental Kuznets Curve hypothesis. However, the turning point appears to be higher for intermediate trade imports, suggesting that environmental concerns are taken into account differently for imports and exports. Moreover, results show long-run bidirectional causality between carbon emissions, income, and intermediate goods trade; long-run unidirectional causality running from energy consumption to income and carbon emissions; and unidirectional causality running from trade in intermediate goods to carbon emissions in the short run. These findings suggest that national authorities should encourage trade in intermediate goods, develop the use of cleaner energy sources, and focus on public awareness on energy efficiency and clean environment, since these countries have increasingly integrated global value chains, even though most remain exporters of primary products.

Keywords: Carbon emissions; Energy consumption; Intermediate goods; Sub-Saharan Africa (search for similar items in EconPapers)
JEL-codes: C32 F64 O44 Q43 (search for similar items in EconPapers)
Date: 2018
References: Add references at CitEc
Citations: View citations in EconPapers (10)

Downloads: (external link)
https://www.sciencedirect.com/science/article/pii/S2110701717301506 (text/html)

Related works:
Journal Article: Environment-energy-growth nexus in Sub-Saharan Africa: The role of intermediate goods (2018)
Working Paper: Environment-energy-growth nexus in Sub-Saharan Africa: The role of intermediate goods (2018)
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:cii:cepiie:2018-q4-156-18

Access Statistics for this article

More articles in International Economics from CEPII research center Contact information at EDIRC.
Bibliographic data for series maintained by ().