Export quality upgrading and environmental sustainability: Evidence from the East Asia and Pacific Region

Vu Quang Trinh, Anh Thi Quynh Nguyen and Xuan Vinh Vo

Research in International Business and Finance, 2022, vol. 60, issue C

Abstract: In this study, we examine the effect of export quality upgrading through evolution of energy mix and transportation on environmental sustainability using panel cointegration techniques. Utilizing a dataset of East Asia and Pacific countries, we find that the export quality amelioration of goods and services tends to increase the carbon-produced intensity. Economically, a 1% rise in the export quality index could surge CO2 emissions by 0.71%. However, such a relationship is nonlinear as reflected through an inverted U-shaped linkage between export quality and environmental performance, i.e., evolution in energy use, economic growth, transportation and trade openness can reduce CO2 emissions when it reaches a certain threshold. The main results survive when we re-estimate all models by substituting production-based CO2 emissions by Consumption Emissions and Economic Complexity Index of Hidalgo and Haussmann.

Keywords: Export quality upgrading; Energy mix; Transportation evolution; CO2 emissions; East Asia and Pacific Region (search for similar items in EconPapers)
JEL-codes: F18 O44 P28 Q59 (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:riibaf:v:60:y:2022:i:c:s0275531922000204

DOI: 10.1016/j.ribaf.2022.101632

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