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The effect of corruption on carbon dioxide emissions in APEC countries: A panel quantile regression analysis

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  • Zhang, Yue-Jun
  • Jin, Yan-Lin
  • Chevallier, Julien
  • Shen, Bo

Abstract

The relationship between corruption and CO2 emissions has been receiving increased attention in recent years, but little work has been conducted for the Asia-Pacific Economic Cooperation (APEC) countries even if they have determined to fight against corruption and address climate change. Using the quantile regression approach, this paper develops a panel data model for the effect of corruption on CO2 emissions in APEC countries. The empirical results show that, first of all, the effect of corruption on CO2 emissions is heterogeneous among APEC countries. Specifically, there is significant negative effect in lower emission countries, but insignificant in higher emission countries. Second, there exists an inverted U-shaped Environmental Kuznets Curve (EKC) between corruption and CO2 emissions, and the per capita GDP at the turning point of the EKC may increase when CO2 emissions increase. Finally, corruption may have not only a negative direct effect on CO2 emissions, but also a positive indirect effect through its effect on per capita GDP. The total effect appears positive, which indicates corruption may worsen environmental quality overall in APEC countries.

Suggested Citation

  • Zhang, Yue-Jun & Jin, Yan-Lin & Chevallier, Julien & Shen, Bo, 2016. "The effect of corruption on carbon dioxide emissions in APEC countries: A panel quantile regression analysis," Technological Forecasting and Social Change, Elsevier, vol. 112(C), pages 220-227.
    • Handle: RePEc:eee:tefoso:v:112:y:2016:i:c:p:220-227
    DOI: 10.1016/j.techfore.2016.05.027
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    2. Chen, Wenhui & Lei, Yalin, 2018. "The impacts of renewable energy and technological innovation on environment-energy-growth nexus: New evidence from a panel quantile regression," Renewable Energy, Elsevier, vol. 123(C), pages 1-14.
    3. Nicolli, Francesco & Vona, Francesco, 2019. "Energy market liberalization and renewable energy policies in OECD countries," Energy Policy, Elsevier, vol. 128(C), pages 853-867.
    4. Muhammad, Sulaman & Long, Xingle & Salman, Muhammad & Dauda, Lamini, 2020. "Effect of urbanization and international trade on CO2 emissions across 65 belt and road initiative countries," Energy, Elsevier, vol. 196(C).
    5. Chang, Chun-Ping & Wen, Jun & Dong, Minyi & Hao, Yu, 2018. "Does government ideology affect environmental pollutions? New evidence from instrumental variable quantile regression estimations," Energy Policy, Elsevier, vol. 113(C), pages 386-400.
    6. PU, Zhengning & YUE, Shujing & GAO, Peng, 2020. "The driving factors of China's embodied carbon emissions," Technological Forecasting and Social Change, Elsevier, vol. 153(C).
    7. Hanif, Imran, 2017. "Economics-energy-environment nexus in Latin America and the Caribbean," Energy, Elsevier, vol. 141(C), pages 170-178.
    8. Sami Ben Jabeur & Asma Sghaier, 2018. "The relationship between energy, pollution, economic growth and corruption: A Partial Least Squares Structural Equation Modeling (PLS-SEM) approach," Economics Bulletin, AccessEcon, vol. 38(4), pages 1927-1946.
    9. Zhang, Wenwen & Chiu, Yi-Bin, 2020. "Do country risks influence carbon dioxide emissions? A non-linear perspective," Energy, Elsevier, vol. 206(C).
    10. Arminen, Heli & Menegaki, Angeliki N., 2019. "Corruption, climate and the energy-environment-growth nexus," Energy Economics, Elsevier, vol. 80(C), pages 621-634.
    11. Qi, Shaozhou & Peng, Huarong & Zhang, Xiaoling & Tan, Xiujie, 2019. "Is energy efficiency of Belt and Road Initiative countries catching up or falling behind? Evidence from a panel quantile regression approach," Applied Energy, Elsevier, vol. 253(C), pages 1-1.
    12. Danish, & Baloch, Muhammad Awais & Wang, Bo, 2019. "Analyzing the role of governance in CO2 emissions mitigation: The BRICS experience," Structural Change and Economic Dynamics, Elsevier, vol. 51(C), pages 119-125.
    13. Alexandra-Anca Purcel, 2019. "Does Political Stability Hinder Pollution? Evidence From Developing States," Economic Research Guardian, Weissberg Publishing, vol. 9(2), pages 75-98, December.
    14. Wang, Zhaohua & Danish, & Zhang, Bin & Wang, Bo, 2018. "The moderating role of corruption between economic growth and CO2 emissions: Evidence from BRICS economies," Energy, Elsevier, vol. 148(C), pages 506-513.

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    More about this item

    Keywords

    Corruption; CO2 emissions; APEC; Panel quantile regression;
    All these keywords.

    JEL classification:

    • D73 - Microeconomics - - Analysis of Collective Decision-Making - - - Bureaucracy; Administrative Processes in Public Organizations; Corruption
    • Q57 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Ecological Economics
    • C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models

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