IDEAS home Printed from https://ideas.repec.org/a/taf/jenpmg/v64y2021i10p1864-1885.html
   My bibliography  Save this article

Dynamics of international trade, technology innovation and environmental sustainability: evidence from Asia by accounting for cross-sectional dependence

Author

Listed:
  • Usman Ali
  • Yanxi Li
  • Verónica Patricia Yánez Morales
  • Babar Hussain

Abstract

This study explores the mechanism of how trade openness (TO) affects CO2 emissions via the scale and technique effects in the Asian region over the 1990–2015 period. The results obtained by employing cross-sectional augmented estimators indicate that: (i) trade-induced technology innovation (TI) reduces CO2 emissions; (ii) trade-facilitated economic growth results in higher CO2 emissions; (iii) the positive scale effect outweighs the negative technique effects. Furthermore, TO also produces a rebound effect of TI on emissions for Southern and Western Asia. The Dumitrescu–Hurlin causality test reveals that TO Granger causes economic growth and TI, which in turn cause CO2 emissions. Besides, quadri-directional causality is observed between TO, TI, energy consumption and emissions, suggesting that these variables are mutually reinforcing. The findings suggest that the goals of environmental sustainability can be attained if the pace of national output growth is accompanied by environmental regulations and clean technology improvements when framing comprehensive trade policy.

Suggested Citation

  • Usman Ali & Yanxi Li & Verónica Patricia Yánez Morales & Babar Hussain, 2021. "Dynamics of international trade, technology innovation and environmental sustainability: evidence from Asia by accounting for cross-sectional dependence," Journal of Environmental Planning and Management, Taylor & Francis Journals, vol. 64(10), pages 1864-1885, August.
    • Handle: RePEc:taf:jenpmg:v:64:y:2021:i:10:p:1864-1885
    DOI: 10.1080/09640568.2020.1846507
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/09640568.2020.1846507
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/09640568.2020.1846507?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Mingbo Zheng & Gen-Fu Feng & Chun-Ping Chang, 2023. "Is green finance capable of promoting renewable energy technology? Empirical investigation for 64 economies worldwide," Oeconomia Copernicana, Institute of Economic Research, vol. 14(2), pages 483-510, June.
    2. Chen, Hongrui, 2023. "Energy innovations, natural resource abundance, urbanization, and environmental sustainability in the post-covid era. Does environmental regulation matter?," Resources Policy, Elsevier, vol. 85(PB).
    3. To Trung Thanh & Le Thanh Ha & Hoang Phuong Dung & Tran Thi Lan Huong, 2023. "Impacts of digitalization on energy security: evidence from European countries," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 25(10), pages 11599-11644, October.
    4. Enock Kojo Ayesu & Clement Agonyim Asaana, 2023. "Global shipping and climate change impacts in Africa: the role of international trade," Journal of Shipping and Trade, Springer, vol. 8(1), pages 1-17, December.
    5. Lan Khanh Chu, 2022. "The impact of informal economy on technological innovation–ecological footprint nexus in OECD countries: new evidence from panel quantile regression," Journal of Environmental Studies and Sciences, Springer;Association of Environmental Studies and Sciences, vol. 12(3), pages 515-533, September.
    6. Lu, Yin & Tian, Tian & Ge, Chen, 2023. "Asymmetric effects of renewable energy, fintech development, natural resources, and environmental regulations on the climate change in the post-covid era," Resources Policy, Elsevier, vol. 85(PB).

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:jenpmg:v:64:y:2021:i:10:p:1864-1885. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/CJEP20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.