Economics at your fingertips  

The Impact of Socio-economic and Environmental Sustainability on CO2 Emissions: A Novel Framework for Thirty IEA Countries

Irfan Khan () and Fujun Hou ()
Additional contact information
Irfan Khan: Beijing Institute of Technology
Fujun Hou: Beijing Institute of Technology

Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, 2021, vol. 155, issue 3, No 12, 1045-1076

Abstract: Abstract The extent to which socio-economic factors other than income and household size are associated with household CO2 emissions and whether associations vary across emission domains remains contested in the literature. We explore the impact of socio-economic and environmental sustainability indicators on CO2 emissions in the presence of combustible renewables, and the economic growth of thirty International Energy Agency (IEA) member countries. We develop a comprehensive empirical analysis using panel data and apply advanced econometric techniques for the period from 1995 to 2018. The panel co-integration analysis indicates long-run relationships among the variables. In addition, augmented mean group analysis and common correlated effects mean group analyses explain that environmental sustainability reduces CO2 emissions in the short run. Findings of fully modified least square estimates and long-run dynamic least squares estimates confirm that socio-economic sustainability increases CO2 emissions and environmental sustainability decreases them. The results of Dumitrescu and Hurlin Granger causality analysis reveal that combustible renewables, environmental sustainability, and economic growth bidirectionally Granger cause CO2 emissions, but socio-economic sustainability unidirectional Granger causes environmental quality. Policymakers in the IEA economies are encouraged to establish policies that promote a sustained lifestyle, ecological awareness, clean technological innovations, limit CO2 emissions, ecological trade-offs, and CO2 emissions ceilings to avoid rebound effects and limit environmental degradation. The study’s limitations are discussed, and useful directions for future research in the area are proposed.

Keywords: Environmental sustainability; Socio-economic sustainability; CO2 emissions; Economic growth; IEA countries (search for similar items in EconPapers)
Date: 2021
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (16) Track citations by RSS feed

Downloads: (external link) Abstract (text/html)
Access to the full text of the articles in this series is restricted.

Related works:
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:

Ordering information: This journal article can be ordered from

DOI: 10.1007/s11205-021-02629-3

Access Statistics for this article

Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement is currently edited by Filomena Maggino

More articles in Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().

Page updated 2023-11-13
Handle: RePEc:spr:soinre:v:155:y:2021:i:3:d:10.1007_s11205-021-02629-3