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The Role of Globalization on CO2 Emission in Vietnam Incorporating Industrialization, Urbanization, GDP per Capita and Energy Use

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  • Le Hoang Phong

    (School of Public Finance, University of Economics Ho Chi Minh City, 59C Nguyen Dinh Chieu, Ho Chi Minh City, Vietnam,)

  • Dang Thi Bach Van

    (School of Public Finance, University of Economics Ho Chi Minh City, 59C Nguyen Dinh Chieu, Ho Chi Minh City, Vietnam,)

  • Ho Hoang Gia Bao

    (Department of Finance and Accounting Management, Faculty of Management, Ho Chi Minh City University of Law, 02 Nguyen Tat Thanh, Ho Chi Minh City, Vietnam)

Abstract

This study examines the impacts of crucial factors associated with Vietnam s socio-economic development including globalization, industrialization, urbanization, energy consumption and GDP per capita on carbon dioxide emission. The 31-year data (from 1985 to 2015) is analyzed by Autoregressive Distributed Lag (ARDL) method, and bound test result denotes the long-run relationship between the carbon dioxide emission and its determinants. The long-run and short-run effects can be assessed by the cointegration among the variables and Error Correction Model (ECM) respectively. We find that energy consumption, industrialization and GDP per capita increase carbon dioxide emission in the long-run while, in contrast, globalization negatively influences it, which implies pragmatic suggestions for policymakers in promoting pertinent strategies for sustainable economic development in Vietnam.

Suggested Citation

  • Le Hoang Phong & Dang Thi Bach Van & Ho Hoang Gia Bao, 2018. "The Role of Globalization on CO2 Emission in Vietnam Incorporating Industrialization, Urbanization, GDP per Capita and Energy Use," International Journal of Energy Economics and Policy, Econjournals, vol. 8(6), pages 275-283.
    • Handle: RePEc:eco:journ2:2018-06-33
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    More about this item

    Keywords

    Energy consumption; Carbon dioxide emission; Globalization;
    All these keywords.

    JEL classification:

    • C32 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models; Diffusion Processes; State Space Models
    • Q43 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Energy and the Macroeconomy
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth

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