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The Contribution of Greenhouse Pollution to Productivity Growth

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Author Info

  • 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.

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File URL: http://www.uoguelph.ca/economics/repec/workingpapers/2008/2008-02.pdf
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Bibliographic Info

Paper provided by University of Guelph, Department of Economics and Finance in its series Working Papers with number 0802.

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Length: 21 pages
Date of creation: 2008
Date of revision:
Handle: RePEc:gue:guelph:2008-2

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Postal: Guelph, Ontario, N1G 2W1
Phone: (519) 824-4120 ext. 53898
Fax: (519) 763-8497
Web page: https://www.uoguelph.ca/economics/
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Related research

Keywords: TFP Growth; Greenhouse Pollution; CO2; Semiparametric Estimation.;

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References

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  1. Smulders, J.A., 1995. "Environmental quality and pollution-augmenting technological change in a two-sector endogenous growth model," Open Access publications from Tilburg University urn:nbn:nl:ui:12-153411, Tilburg University.
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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, Rimini Centre for Economic Analysis, vol. 3(2), pages 149-172, October.

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