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Economic development and CO2 emissions : A nonparametric panel approach

Author

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  • Théophile Azomahou

    (BETA - Bureau d'Économie Théorique et Appliquée - INRA - Institut National de la Recherche Agronomique - UNISTRA - Université de Strasbourg - UL - Université de Lorraine - CNRS - Centre National de la Recherche Scientifique)

  • François Laisney

    (BETA - Bureau d'Économie Théorique et Appliquée - INRA - Institut National de la Recherche Agronomique - UNISTRA - Université de Strasbourg - UL - Université de Lorraine - CNRS - Centre National de la Recherche Scientifique, Centre for European Economic Research (Mannheim, Germany) - Zentrum für Europäische Wirtschaftsforschung (ZEW) - Universität Mannheim)

  • Phu Nguyen Van

    (THEMA - Théorie économique, modélisation et applications - CNRS - Centre National de la Recherche Scientifique - CY - CY Cergy Paris Université)

Abstract

We examine the empirical relation between CO2 emissions per capita and GDP per capita during the period 1960–1996, using a panel of 100 countries. Relying on the nonparametric poolability test of Baltagi et al. [Baltagi, B.H., Hidalgo, J., Li, Q., 1996. A nonparametric test for poolability using panel data, Journal of Econometrics 75, 345–367], we find evidence of structural stability of the relationship. We then specify a nonparametric panel data model with country-specific effects. Estimation results show that this relationship is upward sloping. Nonparametric specification tests do not reject monotonicity but do reject the polynomial functional form which leads to the environmental Kuznets curve in several studies.

Suggested Citation

  • Théophile Azomahou & François Laisney & Phu Nguyen Van, 2006. "Economic development and CO2 emissions : A nonparametric panel approach," Post-Print hal-00279218, HAL.
    • Handle: RePEc:hal:journl:hal-00279218
    DOI: 10.1016/j.jpubeco.2005.09.005
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    More about this item

    Keywords

    Environmental Kuznets curve; Panel data; Poolability test; Monotonicity test; Specification test;
    All these keywords.

    JEL classification:

    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Semiparametric and Nonparametric Methods: General
    • O10 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - General

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