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Greenhouse Gas Emissions and Economic Performance in EU Agriculture: An Empirical Study in a Non-Linear Framework

Eleni Zafeiriou (), Ioannis Mallidis (), Konstantinos Galanopoulos () and Garyfallos Arabatzis ()
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Eleni Zafeiriou: Department of Agricultural Development, Democritus University of Thrace, GR68200 Orestiada, Greece
Ioannis Mallidis: Department of Mechanical Engineering, Aristotle University of Thessaloniki, P.O. Box 461, 54124 Thessaloniki, Greece
Konstantinos Galanopoulos: Department of Agricultural Development, Democritus University of Thrace, GR68200 Orestiada, Greece
Garyfallos Arabatzis: Department of Forestry Management of the Environment and Natural Resources, Democritus University of Thrace, GR68200 Orestiada, Greece

Sustainability, 2018, vol. 10, issue 11, 1-18

Abstract: Numerous linkages among Agriculture and climate change have been identified and validated in global terms. In European Union, the economic performance–carbon dioxide emission relationship has become a particularly high priority issue for Common agricultural policy within the last decade, attracting scientific interest. Within this socio–economic framework, the present work studies the relationship between agricultural carbon emissions equivalents and income per capita for the agricultural sector in different EU countries with the assistance of the nonlinear autoregressive distributed lag (NARDL) cointegration technique. Our findings validate the existence of a strong relationship between GHG emissions and agricultural income, since the cointegration among the two variables is established in all instances, while the asymmetric impact of agricultural income on carbon emissions may well provide policy makers with tools which when implemented, may well promote the increase of agricultural income along with GHG effect mitigation in a successful way.

Keywords: sustainable agriculture; negative externalities; GHG emissions; NARDL model (search for similar items in EconPapers)
JEL-codes: Q Q0 Q2 Q3 Q5 Q56 O13 (search for similar items in EconPapers)
Date: 2018
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