Trade Liberalization, Economic Growth, Energy Consumption and the Environment: Time Series Evidence from G-20 Economies

Jungho Baek; Hyun Seok Kim

doi:10.11644/KIEP.JEAI.2011.15.1.224

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No	Title
1	Do nuclear and renewable energy improve the environment? Empirical evidence from the United States / 2016 / Ecological Indicators / vol.66, pp.352 / 10.1016/j.ecolind.2016.01.059
2	/ 2014 / pp.247 / 10.4018/978-1-4666-5848-6.ch009
3	What drives carbon dioxide emissions in the long-run? Evidence from selected South Asian Countries / 2017 / Renewable and Sustainable Energy Reviews / vol.70, pp.1142 / 10.1016/j.rser.2016.12.018
4	A panel cointegration analysis of CO2 emissions, nuclear energy and income in major nuclear generating countries / 2015 / Applied Energy / vol.145, pp.133 / 10.1016/j.apenergy.2015.01.074
5	CO2 emissions, energy consumption, income and foreign trade: A South African perspective / 2013 / Energy Policy / vol.63, pp.1042 / 10.1016/j.enpol.2013.09.022
6	Exploring the relationship between energy usage segregation and environmental degradation in N-11 countries / 2017 / Journal of Cleaner Production / vol.168, pp.1217 / 10.1016/j.jclepro.2017.09.071
7	/ 2015 / pp.221 / 10.4018/978-1-4666-7308-3.ch017
8	An approach to the pollution haven and pollution halo hypotheses in MINT countries / 2019 / Environmental Science and Pollution Research 10.1007/s11356-019-05446-x
9	Trade Openness and CO2 Emissions: The Heterogeneous and Mediating Effects for the Belt and Road Countries / 2021 / Sustainability / vol.13, no.4, pp.1958 / 10.3390/su13041958
10	Renewable Energy as a Determinant of Inter-country Differentials in CO2 Emissions in Africa / 2021 / Renewable Energy 10.1016/j.renene.2021.03.096
11	The Linkage Among Sea Transport, Trade Liberalization and Industrial Development in the Context of CO2: An Empirical Investigation From China / 2021 / Frontiers in Environmental Science / vol.9, 10.3389/fenvs.2021.633875
12	An approach to the pollution haven and pollution halo hypotheses in Asian countries / 2023 / Environmental Science and Pollution Research 10.1007/s11356-023-25548-x
13	Trade-environment nexus in OIC countries: fresh insights from environmental Kuznets curve using GHG emissions and ecological footprint / 2021 / Environmental Science and Pollution Research / vol.28, no.4, pp.4531 / 10.1007/s11356-020-10845-6
14	Environmental Kuznets curve for CO2 emissions: The case of Arctic countries / 2015 / Energy Economics / vol.50, pp.13 / 10.1016/j.eneco.2015.04.010
15	Environmental Effects of Trade Liberalization–Evidence from China’s Pilot Free Trade Zone / 2021 / Journal of International Commerce, Economics and Policy / vol.12, no.03, 10.1142/S1793993321500137
16	Does Energy Consumption Affect the Environment and Economic Growth: Evidence from Emerging Economies / 2024 / Journal of International Commerce, Economics and Policy / vol.15, no.03, 10.1142/S179399332450025X
17	Unravelling the Link Between Bilateral Investment Treaties and Environmental Sustainability in Sub-Saharan African Countries / 2025 / Insight on Africa / vol.17, no.1, pp.7 / 10.1177/09750878241241792
18	Institutional quality and CO2 emission–output relations: The case of Asian countries / 2021 / Journal of Environmental Management / vol.279, pp.111569 / 10.1016/j.jenvman.2020.111569
19	How does foreign direct investment affect CO2 emissions in emerging countries?New findings from a nonlinear panel analysis / 2020 / Journal of Cleaner Production / vol.249, pp.119422 / 10.1016/j.jclepro.2019.119422
20	The Environmental Consequences of Growth: Empirical Evidence from the Republic of Kazakhstan / 2018 / Economies / vol.6, no.1, pp.19 / 10.3390/economies6010019
21	A cointegration analysis of New Zealand’s economic development, fossil fuel usage and transport emissions / 2022 / Case Studies on Transport Policy / vol.10, no.4, pp.2497 / 10.1016/j.cstp.2022.11.006
22	CO2 emissions, renewable energy and the Environmental Kuznets Curve, a panel cointegration approach / 2017 / Renewable and Sustainable Energy Reviews / vol.72, pp.1067 / 10.1016/j.rser.2016.10.018
23	Is air pollution a government failure or a market failure? Global evidence from a multi-dimensional analysis / 2023 / Energy Policy / vol.173, pp.113384 / 10.1016/j.enpol.2022.113384
24	Spatial and Heterogeneity Analysis of Environmental Taxes’ Impact on China’s Green Economy Development: A Sustainable Development Perspective / 2023 / Sustainability / vol.15, no.12, pp.9332 / 10.3390/su15129332
25	CO2 emissions and sustainable economic development: New evidence on the role of human capital / 2020 / Sustainable Development / vol.28, no.5, pp.1279 / 10.1002/sd.2083
26	Technology transfer for green investments: exploring how technology transfer through foreign direct investments can contribute to sustainable practices and reduced environmental impact in OIC economies / 2024 / Environmental Science and Pollution Research / vol.31, no.6, pp.8812 / 10.1007/s11356-023-31553-x
27	RETRACTED: G-20 economies and their environmental commitments: Fresh analysis based on energy consumption and economic growth / 2022 / Frontiers in Environmental Science / vol.10, 10.3389/fenvs.2022.983136
28	Greening Wine Exports? Changes in the Carbon Footprint of Spanish Wine Exports / 2021 / International Journal of Environmental Research and Public Health / vol.18, no.17, pp.9035 / 10.3390/ijerph18179035

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East Asian Economic Review Vol. 15, No. 1, 2011. pp. 3-32.

DOI https://dx.doi.org/10.11644/KIEP.JEAI.2011.15.1.224

Number of citation : 28

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Trade Liberalization, Economic Growth, Energy Consumption and the Environment: Time Series Evidence from G-20 Economies

Author
Jungho Baek	University of Alaska Fairbanks;North Dakota State University jbaek3@alaska.edu
Hyun Seok Kim	hyun.kim@keei.re.kr

EAER is an open access journal distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution, and reproduction in any medium, provided you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license.

Abstract

This study examines the dynamic interrelationships between trade, income growth, energy consumption and CO2 emissions for G-20 economies in a framework of cointegrated vector autoregression (CVAR). Johansen’s maximum likelihood procedure is used to estimate the coefficients of the cointegrated VAR. The results show that trade and income growth have a favorable effect on environmental quality for the developed G-20 member countries, while they have an adverse effect on the environment for the developing member countries. We also find that energy con- sumption tends to worsen environmental quality for both the developed and developing countries. Finally, it is found that trade and income to emission and energy causality holds for the developed countries; changes in degree of trade openness and income growth lead to corresponding changes in the rates of growth in emission and energy consumption. Emission and energy to trade and income causality, on the other hand, is found to hold for the developing countries; any shocks in emission and energy consumption cause corresponding fluctuations in income growth and trade openness.

JEL classification: F18, C32, Q56

Keywords

Cointegration, Energy, Environment, Growth, Income, Trade, Time-series analysis

Language

English

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