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Revisiting sulfur Kuznets curves with endogenous breaks modeling: Substantial evidence of inverted-Us/Vs for individual OECD countries

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  • Liddle, Brantley
  • Messinis, George

Abstract

This paper tests for a sulfur Kuznets curve by examining the sulfur emissions per capita-GDP per capita relationship individually, for 25 OECD countries over 1950-2005 using a reduced-form, linear model that allows for multiple endogenously determined breaks. This approach addresses several important econometric and modeling issues, e.g., (i) it is highly flexible and can approximate complicated nonlinear relationships without presuming a priori any particular relationship; (ii) it avoids the nonlinear transformations of potentially nonstationary income. The predominant post-1950 income-sulfur emissions relationship—the case for 24 of the 25 countries studied—was either (i) inverted-Vs, where the emissions-income relationship became negative, or (ii) decoupling, where income no longer affected emissions in a long-run, statistically significant way. Seventeen of the 21 transitional breaks uncovered occurred over 1965-1978; hence, in concert with previous work, we conclude that shared timing among countries is important in income-environment transitions.

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  • Liddle, Brantley & Messinis, George, 2014. "Revisiting sulfur Kuznets curves with endogenous breaks modeling: Substantial evidence of inverted-Us/Vs for individual OECD countries," MPRA Paper 59565, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:59565
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    Cited by:

    1. Khan, Syed Abdul Rehman & Zaman, Khalid & Zhang, Yu, 2016. "The relationship between energy-resource depletion, climate change, health resources and the environmental Kuznets curve: Evidence from the panel of selected developed countries," Renewable and Sustainable Energy Reviews, Elsevier, vol. 62(C), pages 468-477.
    2. Xiaosan, Zhang & Qingquan, Jiang & Shoukat Iqbal, Khattak & Manzoor, Ahmad & Zia Ur, Rahman, 2021. "Achieving sustainability and energy efficiency goals: Assessing the impact of hydroelectric and renewable electricity generation on carbon dioxide emission in China," Energy Policy, Elsevier, vol. 155(C).
    3. Brantley Liddle & George Messinis, 2018. "Revisiting carbon Kuznets curves with endogenous breaks modeling: evidence of decoupling and saturation (but few inverted-Us) for individual OECD countries," Empirical Economics, Springer, vol. 54(2), pages 783-798, March.
    4. Eyup Dogan & Nigar Taspinar & Korhan K Gokmenoglu, 2019. "Determinants of ecological footprint in MINT countries," Energy & Environment, , vol. 30(6), pages 1065-1086, September.
    5. Silajdzic Sabina & Mehic Eldin, 2018. "Do Environmental Taxes Pay Off? The Impact of Energy and Transport Taxes on CO2 Emissions in Transition Economies," South East European Journal of Economics and Business, Sciendo, vol. 13(2), pages 126-143, December.
    6. Shahbaz, Muhammad & Haouas, Ilham & Hoang, Thi Hong Van, 2019. "Economic growth and environmental degradation in Vietnam: Is the environmental Kuznets curve a complete picture?," Emerging Markets Review, Elsevier, vol. 38(C), pages 197-218.
    7. Aydin, Celil & Esen, Ömer, 2018. "Does the level of energy intensity matter in the effect of energy consumption on the growth of transition economies? Evidence from dynamic panel threshold analysis," Energy Economics, Elsevier, vol. 69(C), pages 185-195.
    8. De Vita, Glauco & Trachanas, Emmanouil, 2016. "‘Nonlinear causality between crude oil price and exchange rate: A comparative study of China and India’ — A failed replication (negative Type 1 and Type 2)," Energy Economics, Elsevier, vol. 56(C), pages 150-160.

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    More about this item

    Keywords

    Sulfur emissions; Environmental Kuznets curve; OECD countries; nonlinear flexible form; multiple endogenous breaks; income-emission relationships;
    All these keywords.

    JEL classification:

    • C22 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models; Diffusion Processes
    • C50 - Mathematical and Quantitative Methods - - Econometric Modeling - - - General
    • O44 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Environment and Growth
    • Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling
    • 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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