S-WoPEc
 
Scandinavian Working Papers in Economics
HomeAboutSeriesSubject/JEL codesAdvanced Search
CERE - the Center for Environmental and Resource Economics CERE Working Papers, CERE - the Center for Environmental and Resource Economics

No 2014:12:
Convergence in carbon dioxide emissions and the role of growth and institutions A parametric and nonparametric analysis

Runar Brännlund (), Amin Karimu () and Patrik Söderholm

Abstract: This paper examines convergence of per capita carbon dioxide (CO2) emission for a panel of 124 countries taking into account the impact of the quality of government institutions. The analysis builds on both parametric and nonparametric panel data techniques, and we examine the beta-convergence hypothesis in a neoclassical growth model setting with institutional quality as one of the independent variables. The results reveal evidence in support of beta-convergence of per capita CO2 emissions for the global sample, and for the sub-samples comprising OECD and non-OECD countries, respectively. The results indicate heterogeneity in beta-convergence, which tends to vary with the level of the initial per capita CO2 emissions. We also find evidence of a negative direct effect of institutional quality on growth in per capita CO2 emissions. However, institutional quality also promotes economic growth, thus generating a positive indirect effect on emissions growth. Overall our empirical results suggest a positive total effect of institutions on growth in per capita CO2 emission based on the global sample. Finally, we find some evidence of bias in the parametric approach, in particular in the case of the estimates for the convergence parameter at either end of the distribution.

Keywords: Carbon dioxide; Convergence; Institutions; Nonparametric approach; (follow links to similar papers)

JEL-Codes: O43; Q54; Q56; (follow links to similar papers)

33 pages, October 10, 2014

Before downloading any of the electronic versions below you should read our statement on copyright.
Download GhostScript for viewing Postscript files and the Acrobat Reader for viewing and printing pdf files.

Full text versions of the paper:

588-convergence-in-carbon ... nparametric-analysis.html    PDF-file
Download Statistics

Questions (including download problems) about the papers in this series should be directed to Mona Bonta Bergman ()
Report other problems with accessing this service to Sune Karlsson () or Helena Lundin ().

Programing by
Design by Joachim Ekebom

Handle: RePEc:hhs:slucer:2014_012 This page was generated on 2015-03-03 13:52:11