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Decomposition Analysis of GHG Emissions In Emerging Economies

Santosh Kumar Sahu and Sumedha Kamboj ()
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Santosh Kumar Sahu and Sumedha Kamboj: Indian Institute of Technology Madras, Madras School of Economics, India

Authors registered in the RePEc Author Service: Santosh Kumar Sahu

Journal of Economic Development, 2019, vol. 44, issue 3, 59-77

Abstract: We employ decomposition analysis to identify factors driving inter-region/inter-country variations in CO2 emissions. At the regional level, we have selected the ASEAN, BRICS and South Asia and at the country level we study the case of India and China. In addition to the decomposition analysis, we also validate the EKC hypothesis using different econometric forms. Based on the results of the decomposition analysis, we conclude that countries/regions do not show a similar behavior however, EKC hypothesis is validated at both regional and country levels. We fail to arrive at common determinants of emission at inter-regional/country levels. The policy implication of our study suggests that a macro level emissions reduction policy is bleak and individual countries have to be accommodated for their idiosyncrasies. From the analysis of EKC hypothesis, we infer that that CO2 emissions follow a linear trend and validate the EKC hypothesis.

Keywords: GHGs emissions; EKC; Decomposition; Emerging economies (search for similar items in EconPapers)
JEL-codes: O13 Q4 Q56 B23 (search for similar items in EconPapers)
Date: 2019
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