Does Carbon Dioxide Have a Significant Dynamic Effect on Agricultural Productivity in Indonesia?

Aliasuddin Aliasuddin (), Nanda Rahmi () and Fathina Almahira Sakhi ()
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Aliasuddin Aliasuddin: Faculty of Economics and Business, Universitas Syiah Kuala, Banda Aceh, Indonesia
Nanda Rahmi: Faculty of Economics and Business, Universitas Syiah Kuala, Banda Aceh, Indonesia
Fathina Almahira Sakhi: SMAN 10, Banda Aceh, Indonesia

International Journal of Energy Economics and Policy, 2026, vol. 16, issue 2, 323-332

Abstract: This study investigates the dynamic influence of carbon dioxide (CO?) emissions, labor, and capital formation on agricultural productivity in Indonesia, utilizing annual data from 2000 to 2023 and employing an Autoregressive Distributed Lag (ARDL) model. The coefficient of carbon dioxide has no significant dynamic effect on the agricultural productivity in Indonesia in the short run. Meanwhile, labor and capital have dynamic and significant effects on agricultural productivity in the short run. However, carbon dioxide, labor, and capital have no significant long-term effects on agricultural productivity. Furthermore, labor exhibits cyclical and inconsistent effects, reflecting seasonal employment patterns and skill limitations, whereas capital consistently has a positive impact on productivity through mechanization and technological advancements.

Keywords: Agricultural Productivity; Carbon Dioxide; Labor; Capital (search for similar items in EconPapers)
Date: 2026
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DOI: 10.32479/ijeep.22400

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