IDEAS home Printed from
   My bibliography  Save this paper

A Nonlinear Analysis of CO2-Income Relation for Advanced Countries


  • Massimiliano Mazzanti


  • Antonio Musolesi


We study long run carbon emissions - income relationships for advanced countries grouped in policy relevant groups - North America and Oceania, South Europe, North Europe. By relying on recent advances on Generalized Additive Models and adopting interaction models, we handle simultaneously three main econometric issues, named here as functional form bias, heterogeneity bias and omitted time related factors bias, which have been proved to be relevant but have been addressed separately in previous papers. We consider a model which includes both country-specifi c nonparametric time eff ects and country-speci c nonparametric income eff ects. We fi nd that country-speci c time related factors weight more than income in driving the northern EU Environmental Kuznets Curves, that cross country heterogeneity is high and that only two countries - Finland and Sweden - show bell shapes for both income and time relationships to CO2. Overall, the countries di ffer more on their carbon-time relation than on the carbon-income relation which is in almost all cases monotonic positive. The former may represent idiosyncratic innovation, energy and policy features of the countries under study.

Suggested Citation

  • Massimiliano Mazzanti & Antonio Musolesi, 2013. "A Nonlinear Analysis of CO2-Income Relation for Advanced Countries," Working Papers 2013072, University of Ferrara, Department of Economics.
  • Handle: RePEc:udf:wpaper:2013072

    Download full text from publisher

    File URL:
    Download Restriction: no

    References listed on IDEAS

    1. Carlos Ordás Criado & Simone Valente & Thanasis Stengos, 2009. "Growth and the pollution convergence hypothesis: a nonparametric approach," CEPE Working paper series 09-66, CEPE Center for Energy Policy and Economics, ETH Zurich.
    Full references (including those not matched with items on IDEAS)

    More about this item


    Semi parametric models; GAM; interaction models; environmental Kuznets curve;

    JEL classification:

    • C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Semiparametric and Nonparametric Methods: General
    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling

    NEP fields

    This paper has been announced in the following NEP Reports:


    Access and download statistics


    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:udf:wpaper:2013072. 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: (Alberto Benati). General contact details of provider: .

    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.