IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/33698.html
   My bibliography  Save this paper

Regional environmental efficiency and economic growth: NUTS2 evidence from Germany, France and the UK

Author

Listed:
  • Halkos, George
  • Tzeremes, Nickolaos

Abstract

This paper by applying nonparametric techniques measures spatial environmental heterogeneities of 98 regions from Germany, France and the UK. Specifically environmental performance indexes are constructed for the 98 regions (NUTS 2 level) identifying their ability to produce higher growth rates and reduce pollution (in the form of municipal waste) generated from regional economic activity. By applying conditional stochastic kernels and local constant estimators it investigates the regional economic activity – environmental quality relationship. The results indicate several spatial environmental heterogeneities among the examined regions. It appears that regions with higher GDP per capita levels tend to have higher environmental performance.

Suggested Citation

  • Halkos, George & Tzeremes, Nickolaos, 2011. "Regional environmental efficiency and economic growth: NUTS2 evidence from Germany, France and the UK," MPRA Paper 33698, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:33698
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/33698/1/MPRA_paper_33698.pdf
    File Function: original version
    Download Restriction: no

    References listed on IDEAS

    as
    1. Rolf Färe & Shawna Grosskopf, 2007. "A Comment on Weak Disposability in Nonparametric Production Analysis," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 91(2), pages 535-538.
    2. Honma, Satoshi & Hu, Jin-Li, 2009. "Total-factor energy productivity growth of regions in Japan," Energy Policy, Elsevier, vol. 37(10), pages 3941-3950, October.
    3. Ali, Agha Iqbal & Lerme, Catherine S. & Seiford, Lawrence M., 1995. "Components of efficiency evaluation in data envelopment analysis," European Journal of Operational Research, Elsevier, vol. 80(3), pages 462-473, February.
    4. P Ekins, 1997. "The Kuznets Curve for the Environment and Economic Growth: Examining the Evidence," Environment and Planning A, , vol. 29(5), pages 805-830, May.
    5. Stern, David I., 2004. "The Rise and Fall of the Environmental Kuznets Curve," World Development, Elsevier, vol. 32(8), pages 1419-1439, August.
    6. Fare, R. & Grosskopf, S. & Hernandez-Sancho, F., 2004. "Environmental performance: an index number approach," Resource and Energy Economics, Elsevier, vol. 26(4), pages 343-352, December.
    7. Cavlovic, Therese A. & Baker, Kenneth H. & Berrens, Robert P. & Gawande, Kishore, 2000. "A Meta-Analysis of Environmental Kuznets Curve Studies," Agricultural and Resource Economics Review, Cambridge University Press, vol. 29(01), pages 32-42, April.
    8. Grossman, G.M & Krueger, A.B., 1991. "Environmental Impacts of a North American Free Trade Agreement," Papers 158, Princeton, Woodrow Wilson School - Public and International Affairs.
    9. Soushi Suzuki & Peter Nijkamp & Piet Rietveld, 2011. "Regional efficiency improvement by means of data envelopment analysis through Euclidean distance minimization including fixed input factors: An application to tourist regions in Italy," Papers in Regional Science, Wiley Blackwell, vol. 90(1), pages 67-89, March.
    10. repec:ebl:ecbull:v:17:y:2006:i:1:p:1-7 is not listed on IDEAS
    11. Kerstin Enflo & Per Hjertstrand, 2009. "Relative Sources of European Regional Productivity Convergence: A Bootstrap Frontier Approach," Regional Studies, Taylor & Francis Journals, vol. 43(5), pages 643-659.
    12. Selden Thomas M. & Song Daqing, 1994. "Environmental Quality and Development: Is There a Kuznets Curve for Air Pollution Emissions?," Journal of Environmental Economics and Management, Elsevier, vol. 27(2), pages 147-162, September.
    13. Managi, Shunsuke, 2006. "Are there increasing returns to pollution abatement? Empirical analytics of the Environmental Kuznets Curve in pesticides," Ecological Economics, Elsevier, vol. 58(3), pages 617-636, June.
    14. Luc Anselin, 2001. "Spatial Effects in Econometric Practice in Environmental and Resource Economics," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 83(3), pages 705-710.
    15. Amitrajeet Batabyal & Peter Nijkamp, 2003. "The environment in regional science: An eclectic review," Papers in Regional Science, Springer;Regional Science Association International, vol. 83(1), pages 291-316, October.
    16. Joaquin Maudos & Jose Pastor & Lorenzo Serrano, 2000. "Efficiency and Productive Specialization: An Application to the Spanish Regions," Regional Studies, Taylor & Francis Journals, vol. 34(9), pages 829-842.
    17. Stern , David I., 1998. "Progress on the environmental Kuznets curve?," Environment and Development Economics, Cambridge University Press, vol. 3(02), pages 173-196, May.
    18. Gene M. Grossman & Alan B. Krueger, 1995. "Economic Growth and the Environment," The Quarterly Journal of Economics, Oxford University Press, vol. 110(2), pages 353-377.
    19. LE GALLO, Julie & ERTUR, Cem, 2000. "Exploratory spatial data analysis of the distribution of regional per capita GDP in Europe, 1980-1995," LATEC - Document de travail - Economie (1991-2003) 2000-09, LATEC, Laboratoire d'Analyse et des Techniques EConomiques, CNRS UMR 5118, Université de Bourgogne.
    20. Susmita Dasgupta & Benoit Laplante & Hua Wang & David Wheeler, 2002. "Confronting the Environmental Kuznets Curve," Journal of Economic Perspectives, American Economic Association, vol. 16(1), pages 147-168, Winter.
    21. Hettige, Hemamala & Lucas, Robert E B & Wheeler, David, 1992. "The Toxic Intensity of Industrial Production: Global Patterns, Trends, and Trade Policy," American Economic Review, American Economic Association, vol. 82(2), pages 478-481, May.
    22. Fare, Rolf & Grosskopf, Shawna & Tyteca, Daniel, 1996. "An activity analysis model of the environmental performance of firms--application to fossil-fuel-fired electric utilities," Ecological Economics, Elsevier, vol. 18(2), pages 161-175, August.
    23. Finn Førsund & Nikias Sarafoglou, 2002. "On the Origins of Data Envelopment Analysis," Journal of Productivity Analysis, Springer, vol. 17(1), pages 23-40, January.
    24. Fare, Rolf & Grosskopf, Shawna, 2004. "Modeling undesirable factors in efficiency evaluation: Comment," European Journal of Operational Research, Elsevier, vol. 157(1), pages 242-245, August.
    25. Watanabe, Michio & Tanaka, Katsuya, 2007. "Efficiency analysis of Chinese industry: A directional distance function approach," Energy Policy, Elsevier, vol. 35(12), pages 6323-6331, December.
    26. Atakelty Hailu & Terrence S. Veeman, 2001. "Non-parametric Productivity Analysis with Undesirable Outputs: An Application to the Canadian Pulp and Paper Industry," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 83(3), pages 605-616.
    27. Charnes, A. & Cooper, W. W. & Rhodes, E., 1978. "Measuring the efficiency of decision making units," European Journal of Operational Research, Elsevier, vol. 2(6), pages 429-444, November.
    28. CARSON, RICHARd T. & JEON, YONGIL & McCUBBIN, DONALD R., 1997. "The relationship between air pollution emissions and income: US Data," Environment and Development Economics, Cambridge University Press, vol. 2(04), pages 433-450, November.
    29. Vincent, Jeffrey R., 1997. "Testing for environmental Kuznets curves within a developing country," Environment and Development Economics, Cambridge University Press, vol. 2(04), pages 417-431, November.
    30. Hayfield, Tristen & Racine, Jeffrey S., 2008. "Nonparametric Econometrics: The np Package," Journal of Statistical Software, Foundation for Open Access Statistics, vol. 27(i05).
    31. Stern, David I., 2002. "Explaining changes in global sulfur emissions: an econometric decomposition approach," Ecological Economics, Elsevier, vol. 42(1-2), pages 201-220, August.
    32. Korhonen, Pekka J. & Luptacik, Mikulas, 2004. "Eco-efficiency analysis of power plants: An extension of data envelopment analysis," European Journal of Operational Research, Elsevier, vol. 154(2), pages 437-446, April.
    33. Jeffery Racine & Jeffrey Hart & Qi Li, 2006. "Testing the Significance of Categorical Predictor Variables in Nonparametric Regression Models," Econometric Reviews, Taylor & Francis Journals, vol. 25(4), pages 523-544.
    34. Jeffrey Racine, 2008. "Nonparametric econometrics: a primer (in Russian)," Quantile, Quantile, issue 4, pages 7-56, March.
    35. Zaim, Osman, 2004. "Measuring environmental performance of state manufacturing through changes in pollution intensities: a DEA framework," Ecological Economics, Elsevier, vol. 48(1), pages 37-47, January.
    36. Halkos, George E., 2003. "Environmental Kuznets Curve for sulfur: evidence using GMM estimation and random coefficient panel data models," Environment and Development Economics, Cambridge University Press, vol. 8(04), pages 581-601, October.
    37. Timo Kuosmanen, 2005. "Weak Disposability in Nonparametric Production Analysis with Undesirable Outputs," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 87(4), pages 1077-1082.
    38. Peter Hall & Jeff Racine & Qi Li, 2004. "Cross-Validation and the Estimation of Conditional Probability Densities," Journal of the American Statistical Association, American Statistical Association, vol. 99, pages 1015-1026, December.
    39. Zhou, Peng & Poh, Kim Leng & Ang, Beng Wah, 2007. "A non-radial DEA approach to measuring environmental performance," European Journal of Operational Research, Elsevier, vol. 178(1), pages 1-9, April.
    40. Nancy E. Bockstael, 1996. "Modeling Economics and Ecology: The Importance of a Spatial Perspective," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 78(5), pages 1168-1180.
    41. Werner Antweiler & Brian R. Copeland & M. Scott Taylor, 2001. "Is Free Trade Good for the Environment?," American Economic Review, American Economic Association, vol. 91(4), pages 877-908, September.
    42. Andreoni, James & Levinson, Arik, 2001. "The simple analytics of the environmental Kuznets curve," Journal of Public Economics, Elsevier, vol. 80(2), pages 269-286, May.
    43. George EMM. Halkos & Nickolaos G. Tzeremes, 2011. "Modelling Regional Welfare Efficiency Applying Conditional Full Frontiers," Spatial Economic Analysis, Taylor & Francis Journals, vol. 6(4), pages 451-471, July.
    44. Jeroen C. J. M. van den Bergh & Peter Nijkamp, 1998. "original: A multiregional perspective on growth and environment: The role of endogenous technology and trade," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 32(1), pages 115-131.
    45. Kumar Mandal, Sabuj & Madheswaran, S., 2010. "Environmental efficiency of the Indian cement industry: An interstate analysis," Energy Policy, Elsevier, vol. 38(2), pages 1108-1118, February.
    46. Rolf Färe & Shawna Grosskopf, 2003. "Nonparametric Productivity Analysis with Undesirable Outputs: Comment," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 85(4), pages 1070-1074.
    47. Dyckhoff, H. & Allen, K., 2001. "Measuring ecological efficiency with data envelopment analysis (DEA)," European Journal of Operational Research, Elsevier, vol. 132(2), pages 312-325, July.
    48. Pulina, Manuela & Detotto, Claudio & Paba, Antonello, 2010. "An investigation into the relationship between size and efficiency of the Italian hospitality sector: A window DEA approach," European Journal of Operational Research, Elsevier, vol. 204(3), pages 613-620, August.
    49. George Emmanuel Halkos & Nickolaos Tzeremes, 2010. "Measuring regional economic efficiency: the case of Greek prefectures," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 45(3), pages 603-632, December.
    50. Taskin, Fatma & Zaim, Osman, 2001. "The role of international trade on environmental efficiency: a DEA approach," Economic Modelling, Elsevier, vol. 18(1), pages 1-17, January.
    51. Reinhard, Stijn & Knox Lovell, C. A. & Thijssen, Geert J., 2000. "Environmental efficiency with multiple environmentally detrimental variables; estimated with SFA and DEA," European Journal of Operational Research, Elsevier, vol. 121(2), pages 287-303, March.
    52. Alberto Ansuategi & Charles Perrings, 2000. "Transboundary Externalities in the Environmental Transition Hypothesis," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 17(4), pages 353-373, December.
    53. Racine, Jeff, 1997. "Consistent Significance Testing for Nonparametric Regression," Journal of Business & Economic Statistics, American Statistical Association, vol. 15(3), pages 369-378, July.
    54. Racine, Jeffrey S., 2008. "Nonparametric Econometrics: A Primer," Foundations and Trends(R) in Econometrics, now publishers, vol. 3(1), pages 1-88, March.
    55. Bulte, Erwin H. & van Soest, Daan P., 2001. "Environmental degradation in developing countries: households and the (reverse) Environmental Kuznets Curve," Journal of Development Economics, Elsevier, vol. 65(1), pages 225-235, June.
    56. Zofio, Jose L. & Prieto, Angel M., 2001. "Environmental efficiency and regulatory standards: the case of CO2 emissions from OECD industries," Resource and Energy Economics, Elsevier, vol. 23(1), pages 63-83, January.
    57. Atakelty Hailu, 2003. "Nonparametric Productivity Analysis with Undesirable Outputs: Reply," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 85(4), pages 1075-1077.
    58. Qi Li & Jeffrey Scott Racine, 2006. "Nonparametric Econometrics: Theory and Practice," Economics Books, Princeton University Press, edition 1, number 8355.
    59. Timo Kuosmanen & Victor Podinovski, 2008. "Weak Disposability in Nonparametric Production Analysis: Reply to Färe and Grosskopf," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 91(2), pages 539-545.
    60. Fare, Rolf, et al, 1989. "Multilateral Productivity Comparisons When Some Outputs Are Undesirable: A Nonparametric Approach," The Review of Economics and Statistics, MIT Press, vol. 71(1), pages 90-98, February.
    61. Stern, David I. & Common, Michael S. & Barbier, Edward B., 1996. "Economic growth and environmental degradation: The environmental Kuznets curve and sustainable development," World Development, Elsevier, vol. 24(7), pages 1151-1160, July.
    62. Poletti Laurini, Márcio & Valls Pereira, Pedro L., 2009. "Conditional stochastic kernel estimation by nonparametric methods," Economics Letters, Elsevier, vol. 105(3), pages 234-238, December.
    63. Cropper, Maureen L & Oates, Wallace E, 1992. "Environmental Economics: A Survey," Journal of Economic Literature, American Economic Association, vol. 30(2), pages 675-740, June.
    64. Valentin Zelenyuk & Vitaliy Zheka, 2006. "Corporate Governance and Firm’s Efficiency: The Case of a Transitional Country, Ukraine," Journal of Productivity Analysis, Springer, vol. 25(1), pages 143-157, April.
    65. Fotopoulos, Georgios, 2006. "Nonparametric analysis of regional income dynamics: The case of Greece," Economics Letters, Elsevier, vol. 91(3), pages 450-457, June.
    66. Jon Zabala-Iturriagagoitia & Peter Voigt & Antonio Gutierrez-Gracia & Fernando Jimenez-Saez, 2007. "Regional Innovation Systems: How to Assess Performance," Regional Studies, Taylor & Francis Journals, vol. 41(5), pages 661-672.
    67. Seiford, Lawrence M. & Zhu, Joe, 2005. "A response to comments on modeling undesirable factors in efficiency evaluation," European Journal of Operational Research, Elsevier, vol. 161(2), pages 579-581, March.
    68. Guo, Xiao-Dan & Zhu, Lei & Fan, Ying & Xie, Bai-Chen, 2011. "Evaluation of potential reductions in carbon emissions in Chinese provinces based on environmental DEA," Energy Policy, Elsevier, vol. 39(5), pages 2352-2360, May.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Halkos, George & Tzeremes, Nickolaos, 2012. "Regional economic growth and environmental efficiency in greenhouse emissions: A conditional directional distance function approach," MPRA Paper 40015, University Library of Munich, Germany.

    More about this item

    Keywords

    Regional environmental efficiency; directional distance function; conditional stochastic kernel; nonparametric regression;

    JEL classification:

    • Q50 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - General
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • C60 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - General

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:pra:mprapa:33698. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Joachim Winter). General contact details of provider: http://edirc.repec.org/data/vfmunde.html .

    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 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.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.