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The Environmental Consequences of Globalization: A Country-Specific Time-Series Analysis

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  • Baek, Jungho
  • Cho, Yongsung
  • Koo, Won W.

Abstract

The dynamic relationships among trade, income and the environment for developed and developing countries are examined using a cointegration analysis. Results suggest that trade and income growth tend to increase environmental quality in developed countries, whereas they have detrimental effects on environmental quality in most developing countries. It is also found that for developed countries the causal relationship appears to run from trade and income to the environment - a change in trade and income growth causes a consequent change in environmental quality, and the opposite relationship holds for developing countries.

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Bibliographic Info

Paper provided by American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) in its series 2008 Annual Meeting, July 27-29, 2008, Orlando, Florida with number 6510.

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Date of creation: 2008
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Handle: RePEc:ags:aaea08:6510

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Keywords: Developed countries; Developing countries; Environmental quality; Globalization; Time-series analysis; Trade; Environmental Economics and Policy; International Relations/Trade;

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  1. Chintrakarn, Pandej & Millimet, Daniel L., 2006. "The environmental consequences of trade: Evidence from subnational trade flows," Journal of Environmental Economics and Management, Elsevier, vol. 52(1), pages 430-453, July.
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  9. Dinda, Soumyananda & Coondoo, Dipankor, 2001. "Income and Emission: A Panel Data based Cointegration Analysis," MPRA Paper 50591, University Library of Munich, Germany, revised 10 Mar 2003.
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  12. Coondoo, Dipankor & Dinda, Soumyananda, 2002. "Causality between income and emission: a country group-specific econometric analysis," Ecological Economics, Elsevier, vol. 40(3), pages 351-367, March.
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  17. Flores, Nicholas E. & Carson, Richard T., 1995. "The Relationship Between the Income Elasticities of Demand and Willingness to Pay," 1995 Conference (39th), February 14-16, 1995, Perth, Australia 148795, Australian Agricultural and Resource Economics Society.
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Citations

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Cited by:
  1. Lau, Lin-Sea & Choong, Chee-Keong & Eng, Yoke-Kee, 2014. "Investigation of the environmental Kuznets curve for carbon emissions in Malaysia: Do foreign direct investment and trade matter?," Energy Policy, Elsevier, vol. 68(C), pages 490-497.
  2. Catherine Boulatoff & Michael Jenkins, 2010. "Long-term Nexus Between Openness, Income, and Environmental Quality," International Advances in Economic Research, Springer, vol. 16(4), pages 410-418, November.
  3. Alassane Drabo, 2011. "Agricultural primary commodity export and environmental degradation: what consequences for population's health?," Working Papers halshs-00586034, HAL.
  4. Kohler, Marcel, 2013. "CO2 emissions, energy consumption, income and foreign trade: A South African perspective," Energy Policy, Elsevier, vol. 63(C), pages 1042-1050.

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