Carbon Dioxide Emissions (COsub2/sub), Energy Consumption and Economic Development of New Industrialized Countries Using Panel Econometric Analysis

摘要

The present research work started with a simple question: Is there any relationship between carbon dioxide emissions, energy consumption and economic growth of new industrialized countries. The study tries to evaluate the relationship, cause and effect between COsub2/sub emissions, energy consumption and economic growth. Since the research used panel data, the sophisticated panel data models such as unit root, cointegration, error correction model, granger causality, impulse response function and variance decomposition tests were used over the period of 1960 to 2014. From the result, it is found that there exists long run relationship and causality between energy consumption and economic growth and also found the relationship between carbon dioxide emissions. Hence the study has concluded that, if the country needs to increase their economic growth they are bound to use energy, but at the cost of COsub2/sub. emission. The study also suggested that as per the Kyoto protocol, new industrialized countries need to take necessary steps to reduce COsub2/sub emissions with an immediate effort.