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The Contribution of Greenhouse Pollution to Productivity Growth

Author

Listed:
  • Pantelis Kalaitzidakis.

    (University of Crete.)

  • Theofanis P. Mamuneas.

    (University of Cyprus.)

  • Thanasis Stengos.

    (University of Guelph, Department of Economics)

Abstract

In this paper we examine the effect of greenhouse pollution, as measured by CO2 emissions, on economic growth among a set of OECD countries during the period 1981-1998. We examine the relationship between total factor productivity (TFP) growth and pollution using a semiparametric smooth coefficient model that allow us to directly estimate the output elasticity of pollution. The results indicate that there exists a nonlinear relationship between pollution and TFP growth. The output elasticity of pollution is small with an average sample value of 0.014. In addition we find an average contribution of pollution to productivity growth of about 1 percent for the period 1981-1998.

Suggested Citation

  • Pantelis Kalaitzidakis. & Theofanis P. Mamuneas. & Thanasis Stengos., 2008. "The Contribution of Greenhouse Pollution to Productivity Growth," Working Papers 0802, University of Guelph, Department of Economics and Finance.
    • Handle: RePEc:gue:guelph:2008-2
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    File URL: http://www.uoguelph.ca/economics/repec/workingpapers/2008/2008-02.pdf
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    References listed on IDEAS

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    Cited by:

    1. Neophyta Empora & Theofanis Mamuneas, 2011. "The Effect of Emissions on U.S. State Total Factor Productivity Growth," Review of Economic Analysis, Digital Initiatives at the University of Waterloo Library, vol. 3(2), pages 149-172, October.
    2. Neophyta Empora, 2017. "Air pollution spillovers and U.S. state productivity growth," University of Cyprus Working Papers in Economics 06-2017, University of Cyprus Department of Economics.

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    More about this item

    Keywords

    TFP Growth; Greenhouse Pollution; CO2; Semiparametric Estimation.;
    All these keywords.

    JEL classification:

    • C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Semiparametric and Nonparametric Methods: General
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General

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