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Carbon emissions, income inequality and environmental degradation: the case of Mediterranean countries

Author

Listed:
  • Fateh Belaïd

    (LEM - Lille économie management - UMR 9221 - UA - Université d'Artois - UCL - Université catholique de Lille - Université de Lille - CNRS - Centre National de la Recherche Scientifique)

  • Sabri Boubaker

    (IRG - Institut de Recherche en Gestion - UPEC UP12 - Université Paris-Est Créteil Val-de-Marne - Paris 12 - Université Gustave Eiffel, Métis Lab EM Normandie - EM Normandie - École de Management de Normandie)

  • Rajwane Kafrouni

    (Cemotev - Centre d'études sur la mondialisation, les conflits, les territoires et les vulnérabilités - UVSQ - Université de Versailles Saint-Quentin-en-Yvelines)

Abstract

This study examines the main driving forces affecting short- and long-term CO2 emissions pattern due to changes in growth and income inequality for 11 Mediterranean economies over the period 1990—2012. It proposes an autoregressive dynamic distributive lag dynamic panel specification to (i) test for non-linearity between income inequality and CO2 emissions, (ii) assess whether there is a differentiated effect of income inequality on CEO2 emissions depending on the level of GDP, and (iii) test for other sources of non-linearity between income inequality and CO2 emissions. The results indicate a negative and significant association between income inequality and carbon emissions which means that greater inequality leads to environmental degradation. However, in the short-run, the results show a positive and significant relationship between the income inequality and CO2 emissions.

Suggested Citation

  • Fateh Belaïd & Sabri Boubaker & Rajwane Kafrouni, 2020. "Carbon emissions, income inequality and environmental degradation: the case of Mediterranean countries," Post-Print hal-03272659, HAL.
    • Handle: RePEc:hal:journl:hal-03272659
    DOI: 10.25428/1824-2979/202001-73-102
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    Cited by:

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    4. Sun, Yunpeng & Tian, Wenjuan & Mehmood, Usman & Zhang, Xiaoyu & Tariq, Salman, 2023. "How do natural resources, urbanization, and institutional quality meet with ecological footprints in the presence of income inequality and human capital in the next eleven countries?," Resources Policy, Elsevier, vol. 85(PA).
    5. Kopp, Thomas & Nabernegg, Markus, 2022. "Inequality and Environmental Impact – Can the Two Be Reduced Jointly?," Ecological Economics, Elsevier, vol. 201(C).
    6. Mekki Hamdaoui & SaifEddine Ayouni & Samir Maktouf, 2022. "Financial crises: explanation, prediction, and interdependence," SN Business & Economics, Springer, vol. 2(8), pages 1-52, August.
    7. Wan, Guanghua & Wang, Chen & Wang, Jinxian & Zhang, Xun, 2022. "The income inequality-CO2 emissions nexus: Transmission mechanisms," Ecological Economics, Elsevier, vol. 195(C).
    8. Fateh Belaîd & Sofien Tiba, 2023. "Repercussions the Covid-19 Pandemic on the SDGs Achievement: Is it a New Era for the Development?," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 35(1), pages 138-147, February.
    9. Omri, Anis & Omri, Henda & Slimani, Sana & Belaid, Fateh, 2022. "Environmental degradation and life satisfaction: Do governance and renewable energy matter?," Technological Forecasting and Social Change, Elsevier, vol. 175(C).
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    JEL classification:

    • C2 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables
    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development
    • Q5 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics
    • R1 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics

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