Economics at your fingertips  

The impact of financial development, income, energy and trade on carbon emissions: Evidence from the Indian economy

Mohamed Amine Boutabba ()
Additional contact information
Mohamed Amine Boutabba: EPEE, University of Evry Val d’Essonne,

No 13-05, Documents de recherche from Centre d'Études des Politiques Économiques (EPEE), Université d'Evry Val d'Essonne

Abstract: This paper examines the long-run equilibrium and the existence and direction of a causal relationship between carbon emissions, financial development, economic growth, energy consumption and trade openness for India in a multivariate framework. The results suggest that there is strong evidence on the long run and causal relationships between per capita carbon emissions, per capita real income, the square of per capita real income, per capita energy use, financial development and trade openness. The results also confirm the existence of EKC hypothesis in the Indian economy. Further, causality tests also indicate that there was a unidirectional Granger causality running from per capita real income, per capita energy consumption, and financial development to per capita carbon emissions, all without feedback. The evidence seems to suggest that financial system should take into account the environment aspect in their current operations. The findings of this study may be of great importance for policy and decision-makers in order to develop energy policies for India that contribute to curb carbon emissions while preserving economic growth.

Keywords: Carbon emissions; Financial development; Growth; Energy consumption; Trade (search for similar items in EconPapers)
JEL-codes: C32 O53 Q43 Q53 Q56 (search for similar items in EconPapers)
Pages: 21 pages
Date: 2013
New Economics Papers: this item is included in nep-ene and nep-env
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4) Track citations by RSS feed

Downloads: (external link) ... es/Epee/wp/13-05.pdf (application/pdf)

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:

Access Statistics for this paper

More papers in Documents de recherche from Centre d'Études des Politiques Économiques (EPEE), Université d'Evry Val d'Essonne Contact information at EDIRC.
Bibliographic data for series maintained by Samuel Nosel ().

Page updated 2023-06-03
Handle: RePEc:eve:wpaper:13-05