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Driving Factors of Carbon Dioxide Emissions and the Impact from Kyoto Protocol

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  • Nicole Grunewald
  • Inmaculada Martínez-Zarzoso

Abstract

In the last two decades increasing attention has been paid to the relationship between environmental degradation and economic development. According to the Environmental Kuznets Curve (EKC) hypothesis this relationship may be described by an inverted-U curve. However, recent evidence rejects the EKC hypothesis for GHG emissions in a broad sense. In this paper we aim to investigate whether the EKC behavior for CO2 emissions could be proved on the behalf of institutional regulations. We analyze the driving factors of CO2 for developed and developing countries to test the theory of the EKC in the context of environmental regulations using a static and dynamic panel data model. We consider the Kyoto Protocol and the Clean Development Mechanism (CDM). The results from this study indicate that the Kyoto obligations have a reducing effect on CO2 emissions in developed and developing countries.

Suggested Citation

  • Nicole Grunewald & Inmaculada Martínez-Zarzoso, 2009. "Driving Factors of Carbon Dioxide Emissions and the Impact from Kyoto Protocol," CESifo Working Paper Series 2758, CESifo Group Munich.
  • Handle: RePEc:ces:ceswps:_2758
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    2. Rahel Aichele & Gabriel Felbermayr, 2011. "What a Difference Kyoto Made: Evidence from Instrumental Variables Estimation," ifo Working Paper Series 102, ifo Institute - Leibniz Institute for Economic Research at the University of Munich.
    3. Sheldon, Tamara L., 2017. "Asymmetric effects of the business cycle on carbon dioxide emissions," Energy Economics, Elsevier, vol. 61(C), pages 289-297.
    4. Yu-Fu Chen & Michael Funke, 2010. "Booms, Recessions And Financial Turmoil: A Fresh Look At Investment Decisions Under Cyclical Uncertainty," Scottish Journal of Political Economy, Scottish Economic Society, vol. 57(s1), pages 290-317, July.
    5. Rahel Aichele & Gabriel Felbermayr, 2013. "The Effect of the Kyoto Protocol on Carbon Emissions," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 32(4), pages 731-757, September.
    6. repec:eco:journ1:2017-03-6 is not listed on IDEAS
    7. WenShwo Fang & Stephen M. Miller, 2013. "The effect of ESCO s on carbon dioxide emissions," Applied Economics, Taylor & Francis Journals, vol. 45(34), pages 4796-4804, December.
    8. Iwata, Hiroki & Okada, Keisuke, 2010. "Greenhouse gas emissions and the role of the Kyoto Protocol," MPRA Paper 22299, University Library of Munich, Germany.
    9. repec:wsi:ccexxx:v:06:y:2015:i:03:n:s2010007815500141 is not listed on IDEAS
    10. Nepal, Rabindra & Tisdell, Clem & Jamasb, Tooraj, 2017. "Economic Reforms and Carbon Dioxide Emissions in European and Central Asian Transition Economies," Economics, Ecology and Environment Working Papers 253076, University of Queensland, School of Economics.
    11. Bölük, Gülden & Mert, Mehmet, 2015. "The renewable energy, growth and environmental Kuznets curve in Turkey: An ARDL approach," Renewable and Sustainable Energy Reviews, Elsevier, vol. 52(C), pages 587-595.
    12. Spyros Arvanitis & Marius Ley & Tobias Stucki & Martin Woerter & Thomas Bolli & Christian Soltmann, 2012. "Potenziale für Cleantech in der Schweizer Industrie," KOF Analysen, KOF Swiss Economic Institute, ETH Zurich, vol. 6(1), pages 73-92, March.
    13. Hasanov, Fakhri J. & Bulut, Cihan & Suleymanov, Elchin, 2016. "Do population age groups matter in the energy use of the oil-exporting countries?," Economic Modelling, Elsevier, vol. 54(C), pages 82-99.
    14. Rahel Aichele, 2013. "Trade, Climate Policy and Carbon Leakage - Theory and Empirical Evidence," ifo Beiträge zur Wirtschaftsforschung, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, number 49, January.
    15. Nepal, Rabindra & Jamasb, Tooraj & Tisdell, Clement Allan, 2017. "On environmental impacts of market-based reforms: Evidence from the European and Central Asian transition economies," Renewable and Sustainable Energy Reviews, Elsevier, vol. 73(C), pages 44-52.
    16. Hiroki Iwata & Keisuke Okada, 2014. "Greenhouse gas emissions and the role of the Kyoto Protocol," Environmental Economics and Policy Studies, Springer;Society for Environmental Economics and Policy Studies - SEEPS, vol. 16(4), pages 325-342, October.

    More about this item

    Keywords

    environmental Kuznets Curve; Kyoto Protocol; CDM;

    JEL classification:

    • Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters and their Management; Global Warming
    • 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

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