Testing the Role of Trade on Carbon Dioxide Emissions in Portugal
Abstract
:1. Introduction
2. Literature Review
2.1. Trade and Environment
2.2. Economic Growth and Environment
3. Methodology and Data
4. Results
5. Conclusions
Funding
Conflicts of Interest
References
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Dependent Variable | Source | |
LogCO2—Logarithm of carbon dioxide emissions | World Bank–World Development Indicators (2020) | |
Independent Variables | Expected signs | Source |
LogEC—Logarithm of energy use per capita | [+] | World Bank–World Development Indicators (2020) |
LogTRADE—Logarithm of trade intensity | [−] | World Bank–World Development Indicators (2020) |
LogGDP—Logarithm of income per capita based on purchasing power parity (PPP) | [+; −] | World Bank–World Development Indicators (2020) |
Variables | Observations | LogCO2 | LogEC | LogTRADE | LogGDP |
---|---|---|---|---|---|
LogCO2 | 47 | 1.000 | |||
LogEC | 47 | 0.996 | 1.000 | ||
LogTRADE | 47 | −0.251 | −0.169 | 1.000 | |
LogGDP | 47 | 0.933 | 0.980 | −0.339 | 1.000 |
Variables | Level | 1st Difference |
---|---|---|
LogCO2 | 2.532 (0.996) | −2.244 ** (0.025) |
LogEC | 3.3009 (0.999) | −2.069 ** (0.038) |
LogTRADE | −2.597 ** (0.010) | −3.246 *** (0.002) |
LogGDP | −2.187 (0.992) | −3.1512 ** (0.002) |
Variables | Coef. |
---|---|
ADJLogCO2(−1) | −0.781 *** (0.000) |
Long Run (LR) | |
LogEC | 1.464 *** (0.000) |
LogTRADE | −0.195 *** (0.004) |
LogGDP | −0.393 ** (0.036) |
Short Run (SR) | |
LogGDP D1 | 0.215 (0.238) |
LD | 0.399 ** (0.013) |
C Adj. R2 | 3.316 ** (0.013) 0.818 |
Pesaran et al. (2001) Bounds Test | ||||||||
F = 31.896 | T = −10.906 | Case 3 | ||||||
sample (3 variables, 43 observations, 2 short-run coefficients) | ||||||||
Kripfganz and Schneider (2018) Critical Values and Approximate p-Values | ||||||||
10% | 5% | 1% | p-value | |||||
I(0) | I(1) | I(0) | I(1) | I(0) | I(1) | I(0) | I(1) | |
F | 2.885 | 4.030 | 3.506 | 4.790 | 4.960 | 6.547 | 0.000 | 0.000 |
T | −2.560 | −3.449 | −2.901 | −3.832 | −3.588 | −4.594 | 0.000 | 0.000 |
Durbin–Watson d-Statistic | Breusch–Godfrey LM Test for Autocorrelation | White’s Test |
---|---|---|
(7.43) = 1.551 | Prob > chi2 = 0.110 | Prob > chi2 = 0.150 |
Hypothesized No of CE (s) | Eigenvalue | Trace Statistic | 0.05 Critical Value | p-Value |
---|---|---|---|---|
None | 0.527 | 58.413 | 47.856 | 0.003 |
At most 1 | 0.340 | 24.763 | 29.7970 | 0.170 |
At most 2 | 0.077 | 6.006 | 15.494 | 0.695 |
At most 3 | 0.051 | 2.385 | 15.495 | 0.695 |
Hypothesized No of CE (s) | Eigenvalue | Max-Eigen Statistic | 0.05 Critical Value | p-Value |
---|---|---|---|---|
None | 0.527 | 33.650 | 27.584 | 0.007 |
At most 1 | 0.341 | 18.756 | 21.132 | 0.104 |
At most 2 | 0.077 | 3.620 | 14.264 | 0.897 |
At most 3 | 0.052 | 2.385 | 3.841 | 0.122 |
Quantiles | LogEC | LogTRADE | LogGDP |
---|---|---|---|
0.1 | 1.411 *** (0.000) | −0.460 *** (0.000) | −0.008 (0.855) |
0.2 | 1.294 *** (0.000) | −0.353 *** (0.000) | 0.029 (0.160) |
0.3 | 1.285 *** (0.000) | −0.348 *** (0.000) | 0.031 (0.167) |
0.4 | 1.249 *** (0.000) | −0.329 *** (0.000) | 0.043 ** (0.026) |
0.5 | 1.186 *** (0.000) | −0.262 *** (0.000) | 0.063 *** (0.000) |
0.6 | 1.194 *** (0.000) | −0.281 *** (0.000) | 0.062 *** (0.002) |
0.7 | 1.165 *** (0.000) | −0.279 *** (0.000) | 0.069 *** (0.000) |
0.8 | 1.163 *** (0.000) | −0.278 *** (0.000) | 0.070 *** (0.000) |
0.9 | 1.107 *** (0.000) | −0.229 *** (0.000) | 0.088 *** (0.000) |
Variables | FMOLS | CCR | DOLS |
---|---|---|---|
LogEC | 1.387 *** (0.000) | 1.393 *** (0.000) | 1.511 *** (0.000) |
LogTRADE | −0.265 *** (0.000) | −0.265 *** (0.000) | −0.232 *** (0.000) |
LogGDP | −0205 * (0.094) | −0.212 * (0.061) | −0.421 ** (0.039) |
C | 2.370 ** (0.039) | 2.424 ** (0.019) | 4.396 ** (0.018) |
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Leitão, N.C. Testing the Role of Trade on Carbon Dioxide Emissions in Portugal. Economies 2021, 9, 22. https://doi.org/10.3390/economies9010022
Leitão NC. Testing the Role of Trade on Carbon Dioxide Emissions in Portugal. Economies. 2021; 9(1):22. https://doi.org/10.3390/economies9010022
Chicago/Turabian StyleLeitão, Nuno Carlos. 2021. "Testing the Role of Trade on Carbon Dioxide Emissions in Portugal" Economies 9, no. 1: 22. https://doi.org/10.3390/economies9010022