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Incorporating Forests, Agriculture, and Energy Consumption in the Framework of the Environmental Kuznets Curve: A Dynamic Panel Data Approach

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  • Rajan Parajuli

    () (Department of Forestry and Environmental Resources, North Carolina State University, Raleigh, NC 27695, USA)

  • Omkar Joshi

    () (Department of Natural Resource Ecology and Management, Oklahoma State University, Stillwater, OK 74078, USA)

  • Tek Maraseni

    () (Institute for Life Sciences and the Environment (ILSE), University of Southern Queensland, Toowoomba 4350, Australia)

Abstract

Based on country-specific panel data from 1990–2014 for 86 different countries, we quantify the effects of forests and agricultural land in CO 2 emissions, using the framework of the Environmental Kuznets Curve (EKC). The results from the dynamic panel data method reveal that forests are an important determinant in reducing CO 2 emissions globally, but the effects vary by region. All else constant, we estimate a 0.11% decline in CO 2 emissions per 1% increase in the forest area globally. However, the agricultural sector is found to be a true CO 2 emitter. Our study provides additional empirical evidence for the roles of forests in regulating atmospheric CO 2 , further reinforcing the importance of forests in global climate change policies.

Suggested Citation

  • Rajan Parajuli & Omkar Joshi & Tek Maraseni, 2019. "Incorporating Forests, Agriculture, and Energy Consumption in the Framework of the Environmental Kuznets Curve: A Dynamic Panel Data Approach," Sustainability, MDPI, Open Access Journal, vol. 11(9), pages 1-11, May.
  • Handle: RePEc:gam:jsusta:v:11:y:2019:i:9:p:2688-:d:230235
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    References listed on IDEAS

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    Cited by:

    1. Stavros Tsiantikoudis & Eleni Zafeiriou & Grigorios Kyriakopoulos & Garyfallos Arabatzis, 2019. "Revising the Environmental Kuznets Curve for Deforestation: An Empirical Study for Bulgaria," Sustainability, MDPI, Open Access Journal, vol. 11(16), pages 1-16, August.
    2. Li Wang & Jie Pei & Jing Geng & Zheng Niu, 2019. "Tracking the Spatial–Temporal Evolution of Carbon Emissions in China from 1999 to 2015: A Land Use Perspective," Sustainability, MDPI, Open Access Journal, vol. 11(17), pages 1-27, August.

    More about this item

    Keywords

    dynamic panel data model; Environmental Kuznets Curve; CO 2 emissions; economic growth; endogeneity;

    JEL classification:

    • Q - Agricultural and Natural Resource Economics; Environmental and Ecological Economics
    • Q0 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - General
    • Q2 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation
    • Q3 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation
    • Q5 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products

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