IDEAS home Printed from https://ideas.repec.org/a/ibn/jsd123/v12y2024i4p40.html

Sustainable Development Goals Synergies/Trade-offs: Exploring Long- and Short-Run Impacts of Economic Growth, Income Inequality, Energy Consumption and Unemployment on Carbon Dioxide Emissions in South Africa

Author

Listed:
  • Bertrand Tessa Ngankam

Abstract

This study examines the short- and long-run impacts of economic growth and unemployment (SDG 8), energy consumption (SDG 7) and income inequality (SDG 10) on CO2 emissions in South Africa over the period 1980-2012 to establish potential synergy/trade-off to achieve these goals. We use the autoregressive distributed lag (ARDL) approach to cointegration technique. Our results show that the promotion of economic growth (SDG 8) as well as the reduction in energy consumption/increase in energy efficiency (SDG 7) can be achieved in synergy with the reduction of CO2 emissions (SDG 13). On the other hand, our results suggest a trade-off between reducing unemployment rate or achieving productive employment and decent work (SGD 8) and mitigating CO2 emissions (SDG 13). Neither a synergy nor trade-off (neutral relationship) is found between the reduction of income inequality (SDG 10) and the reduction of CO2 emissions (SDG 13). Our findings highlight the importance of mainstreaming SDG’s policy interactions to achieve sustainable development goals, while also stressing the potential for South Africa to achieve low-carbon development should economic growth be decoupled from carbon-intensive energy use through policies that promote access and effective use of clean energy. The transition to clean energy is therefore emphasized and relevant factors underpinning such as transition should be explored further. Highlights This study examines the short- and long-run impacts of economic growth and unemployment (SDG 8), energy consumption (SDG 7) and income inequality (SDG 10) on CO2 emissions in South Africa The autoregressive distributed lag approach to cointegration is employed A synergy is established between the promotion of economic growth (SDG 8) and the reduction of CO2 emissions (SDG 13), and between the reduction in energy consumption/increase in energy efficiency (SDG 7) and the reduction of CO2 emissions (SDG 13) A trade-off is confirmed between reducing unemployment rate or achieving productive employment and decent work (SDG 8) and mitigating CO2 emissions (SDG 13) A neutral relationship is found between the reduction of income inequality (SDG 10) and the reduction of CO2 emissions (SDG 13) Policymakers need to mainstream SDG’s policy interactions to achieve sustainable development goals South Africa can achieve low-carbon development should economic growth be decoupled from carbon-intensive energy use through policies that promote access and effective use of clean energy

Suggested Citation

  • Bertrand Tessa Ngankam, 2024. "Sustainable Development Goals Synergies/Trade-offs: Exploring Long- and Short-Run Impacts of Economic Growth, Income Inequality, Energy Consumption and Unemployment on Carbon Dioxide Emissions in South Africa," Journal of Sustainable Development, Canadian Center of Science and Education, vol. 12(4), pages 1-40, July.
  • Handle: RePEc:ibn:jsd123:v:12:y:2024:i:4:p:40
    as

    Download full text from publisher

    File URL: https://ccsenet.org/journal/index.php/jsd/article/download/0/0/40299/41442
    Download Restriction: no

    File URL: https://ccsenet.org/journal/index.php/jsd/article/view/0/40299
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Robert Engle & Clive Granger, 2015. "Co-integration and error correction: Representation, estimation, and testing," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 39(3), pages 106-135.
    2. Yip, Chi Man, 2018. "On the labor market consequences of environmental taxes," Journal of Environmental Economics and Management, Elsevier, vol. 89(C), pages 136-152.
    3. Hamisu Sadi Ali & Sallahuddin Hassan & Yusuf Ibrahim Kofarmata & Yusuf Ibrahim Kofarmata, 2016. "Dynamic Impact of Income Inequality on Carbon Dioxide Emissions in Africa: New Evidence from Heterogeneous Panel Data Analysis," International Journal of Energy Economics and Policy, Econjournals, vol. 6(4), pages 760-766.
    4. Narayan, Paresh Kumar & Saboori, Behnaz & Soleymani, Abdorreza, 2016. "Economic growth and carbon emissions," Economic Modelling, Elsevier, vol. 53(C), pages 388-397.
    5. Narayan, Paresh Kumar & Narayan, Seema, 2010. "Carbon dioxide emissions and economic growth: Panel data evidence from developing countries," Energy Policy, Elsevier, vol. 38(1), pages 661-666, January.
    6. Johansen, Soren, 1988. "Statistical analysis of cointegration vectors," Journal of Economic Dynamics and Control, Elsevier, vol. 12(2-3), pages 231-254.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Bastola, Umesh & Sapkota, Pratikshya, 2015. "Relationships among energy consumption, pollution emission, and economic growth in Nepal," Energy, Elsevier, vol. 80(C), pages 254-262.
    2. Lin, Boqiang & Tan, Ruipeng, 2017. "Sustainable development of China's energy intensive industries: From the aspect of carbon dioxide emissions reduction," Renewable and Sustainable Energy Reviews, Elsevier, vol. 77(C), pages 386-394.
    3. Muhammad Qayyum & Yuyuan Yu & Mir Muhammad Nizamani & Saqlain Raza & Minhaj Ali & Shijie Li, 2023. "Financial Instability and CO2 Emissions in India: Evidence from ARDL Bound Testing Approach," Energy & Environment, , vol. 34(4), pages 808-829, June.
    4. Hakimi, Abdelaziz & Hamdi, Helmi, 2016. "Trade liberalization, FDI inflows, environmental quality and economic growth: A comparative analysis between Tunisia and Morocco," Renewable and Sustainable Energy Reviews, Elsevier, vol. 58(C), pages 1445-1456.
    5. Utpal Kumar De, 2023. "Validity of EKC for CO2 in India during 1960 to 2020: an ARDL-cointegration approach," SN Business & Economics, Springer, vol. 3(11), pages 1-22, November.
    6. Bakry, Walid & Mallik, Girijasankar & Nghiem, Xuan-Hoa & Sinha, Avik & Vo, Xuan Vinh, 2023. "Is green finance really “green”? Examining the long-run relationship between green finance, renewable energy and environmental performance in developing countries," Renewable Energy, Elsevier, vol. 208(C), pages 341-355.
    7. Chandran, V.G.R. & Tang, Chor Foon, 2013. "The impacts of transport energy consumption, foreign direct investment and income on CO2 emissions in ASEAN-5 economies," Renewable and Sustainable Energy Reviews, Elsevier, vol. 24(C), pages 445-453.
    8. Quan-Hoang Vuong & Manh-Tung Ho & Hong-Kong To Nguyen & Minh-Hoang Nguyen, 2019. "The trilemma of sustainable industrial growth: evidence from a piloting OECD’s Green city," Humanities and Social Sciences Communications, Palgrave Macmillan, vol. 5(1), pages 1-14, December.
    9. Mahalik, Mantu Kumar & Villanthenkodath, Muhammed Ashiq & Mallick, Hrushikesh & Gupta, Monika, 2021. "Assessing the effectiveness of total foreign aid and foreign energy aid inflows on environmental quality in India," Energy Policy, Elsevier, vol. 149(C).
    10. Rafael Alvarado & Elisa Toledo, 2017. "Environmental degradation and economic growth: evidence for a developing country," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 19(4), pages 1205-1218, August.
    11. Sudeshna Ghosh, 2019. "Environmental Pollution, Income Inequality, and Household Energy Consumption: Evidence from the United Kingdom," Journal of International Commerce, Economics and Policy (JICEP), World Scientific Publishing Co. Pte. Ltd., vol. 10(02), pages 1-31, June.
    12. Jeyhun I. Mikayilov & Marzio Galeotti & Fakhri J. Hasanov, 2018. "The Impact of Economic Growth on CO2 Emissions in Azerbaijan," IEFE Working Papers 102, IEFE, Center for Research on Energy and Environmental Economics and Policy, Universita' Bocconi, Milano, Italy.
    13. Syed Tauseef Hassan & Enjun Xia & Chien-Chiang Lee, 2021. "Mitigation pathways impact of climate change and improving sustainable development: The roles of natural resources, income, and CO2 emission," Energy & Environment, , vol. 32(2), pages 338-363, March.
    14. Tang, Chor Foon & Tan, Bee Wah, 2015. "The impact of energy consumption, income and foreign direct investment on carbon dioxide emissions in Vietnam," Energy, Elsevier, vol. 79(C), pages 447-454.
    15. Reza Sherafatian-Jahromi & Mohd Shahwahid Othman & Siong Hook Law & Normaz Wana Ismail, 2017. "Tourism and CO2 emissions nexus in Southeast Asia: new evidence from panel estimation," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 19(4), pages 1407-1423, August.
    16. Animesh Mishra & Niladri Das & Prem Chhetri, 2023. "Sustainable Strategies for the Indian Coal Sector: An Econometric Analysis Approach," Sustainability, MDPI, vol. 15(14), pages 1-21, July.
    17. Najid Ahmad & Liangsheng Du & Xian-Liang Tian & Jianlin Wang, 2019. "Chinese growth and dilemmas: modelling energy consumption, CO2 emissions and growth in China," Quality & Quantity: International Journal of Methodology, Springer, vol. 53(1), pages 315-338, January.
    18. Rakesh Shahani & Kamya Raghuvansi, 2020. "Carbon Dioxide Emissions and Economic Growth: A Bivariate Co-integration Analysis for Two Emerging Markets of India and China," Vision, , vol. 24(1), pages 9-22, March.
    19. Jaruwan Chontanawat, 2020. "Dynamic Modelling of Causal Relationship between Energy Consumption, CO 2 Emission, and Economic Growth in SE Asian Countries," Energies, MDPI, vol. 13(24), pages 1-27, December.
    20. De Vita, Glauco & Abbott, Andrew, 2002. "Are saving and investment cointegrated? An ARDL bounds testing approach," Economics Letters, Elsevier, vol. 77(2), pages 293-299, October.

    More about this item

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

    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:ibn:jsd123:v:12:y:2024:i:4:p:40. 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.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with 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: Canadian Center of Science and Education (email available below). General contact details of provider: https://edirc.repec.org/data/cepflch.html .

    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.