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An econometric evaluation of the effects of economic growth, energy use, and agricultural value added on carbon dioxide emissions in Vietnam

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  • Asif Raihan

    (Universiti Kebangsaan Malaysia)

Abstract

Global climate change caused by Greenhouse Gases (GHGs), particularly carbon dioxide (CO2) emissions, poses incomparable threats to the environment, development and sustainability. Vietnam is experiencing continuous economic growth and agricultural advancement, which causes higher energy consumption and CO2 emissions. Understanding Vietnam’s sensitivity to climate change is becoming more crucial for governments trying to reconcile climate change mitigation and sustainable development. Analyzing pollution-development trade-offs can help minimize environmental degradation in Vietnam. Therefore, the present study empirically investigated the nexus between economic growth, energy use, agricultural added value and CO2 emissions in Vietnam. To investigate the short-run and long-run relationships between the variables, this study employed the autoregressive distributed lag (ARDL) technique and the Vector Error Correction Model (VECM) using the time series data from 1984 to 2020 for Vietnam. The empirical findings indicated that economic growth and energy use trigger environmental degradation by increasing CO2 emissions, whereas enhancing agricultural added value improves Vietnam’s environmental quality by reducing CO2 emissions in both the long-run and short-run. The estimated results are robust compared with alternative estimators such as dynamic ordinary least squares (DOLS), fully modified least squares (FMOLS), and canonical cointegrating regression (CCR). This research contributes to the existing literature by shedding light on the potential of agricultural added value to reduce emissions in Vietnam and provides policy recommendations in areas of low-carbon economy, promoting renewable energy, and sustainable agriculture that can reduce CO2 emissions in Vietnam.

Suggested Citation

  • Asif Raihan, 2023. "An econometric evaluation of the effects of economic growth, energy use, and agricultural value added on carbon dioxide emissions in Vietnam," Asia-Pacific Journal of Regional Science, Springer, vol. 7(3), pages 665-696, September.
    • Handle: RePEc:spr:apjors:v:7:y:2023:i:3:d:10.1007_s41685-023-00278-7
    DOI: 10.1007/s41685-023-00278-7
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    3. Pinjie Xie & Sheng Wang & Jie Liao & Feihu Sun, 2024. "Study on Spatial-Temporal Disparities and Factors Influencing Electricity Consumption Carbon Emissions in China," Sustainability, MDPI, vol. 16(10), pages 1-20, May.
    4. Raihan, Asif, 2023. "The influences of renewable energy, globalization, technological innovations, and forests on emission reduction in Colombia," Innovation and Green Development, Elsevier, vol. 2(4).
    5. Ali, Amjad & Sumaira, Sumaira & Siddique, Hafiz Muhammad Abubakar & Ashiq, Saima, 2023. "Impact of Economic Growth, Energy Consumption and Urbanization on Carbon Dioxide Emissions in the Kingdom of Saudi Arabia," MPRA Paper 118832, University Library of Munich, Germany.
    6. Member Joy Usigbe & Senorpe Asem-Hiablie & Daniel Dooyum Uyeh & Olayinka Iyiola & Tusan Park & Rammohan Mallipeddi, 2024. "Enhancing resilience in agricultural production systems with AI-based technologies," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 26(9), pages 21955-21983, September.
    7. Raihan, Asif, 2023. "Nexus between greenhouse gas emissions and its determinants: The role of renewable energy and technological innovations towards green development in South Korea," Innovation and Green Development, Elsevier, vol. 2(3).
    8. Raihan, Asif & Mainul Bari, A.B.M., 2024. "Energy-economy-environment nexus in China: The role of renewable energies toward carbon neutrality," Innovation and Green Development, Elsevier, vol. 3(3).
    9. Yigit Kazancoglu & Cisem Lafci & Anil Kumar & Sunil Luthra & Jose Arturo Garza‐Reyes & Yalcin Berberoglu, 2024. "The role of agri‐food 4.0 in climate‐smart farming for controlling climate change‐related risks: A business perspective analysis," Business Strategy and the Environment, Wiley Blackwell, vol. 33(4), pages 2788-2802, May.
    10. Lu, Man & Bai, Heju & Wu, Yiming, 2024. "Anti-corruption, credit supply, and agricultural economic development," Finance Research Letters, Elsevier, vol. 65(C).
    11. Shahida Suleman & Farrukh Nawaz & Mariam Sohail & Umar Kayani & Hassanudin Mohd Thas Thaker & Calvin Cheong Wing Hoh, 2024. "An Empirical Analysis of Trade Market Dynamics on CO2 Emissions: A Study of GCC Economies," International Journal of Energy Economics and Policy, Econjournals, vol. 14(6), pages 114-126, November.
    12. Raihan, Asif, 2023. "Economy-energy-environment nexus: The role of information and communication technology towards green development in Malaysia," Innovation and Green Development, Elsevier, vol. 2(4).
    13. Meena, Ram Swaroop & Pradhan, Gourisankar & Kumar, Sandeep & Lal, Rattan, 2023. "Using industrial wastes for rice-wheat cropping and food-energy-carbon-water-economic nexus to the sustainable food system," Renewable and Sustainable Energy Reviews, Elsevier, vol. 187(C).

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