Skip to main content

LUP Student Papers

LUND UNIVERSITY LIBRARIES

Georgian Environmental Kuznets Curve: An Appropriate Estimation.

Suleymanli, Farahim LU (2022) NEKN01 20221
Department of Economics
Abstract
Empirical EKC literature has conceptual flaws that arise due to the inclusion of polynomials and cointegrating relationships of powers of integrated processes. Additionally, previous studies focused on a narrow nexus between environmental degradation and economic growth that yield only a partial EKC. Considering hereinabove mentioned points the aim of this study is to assess the EKC hypothesis in the case of Georgia using a composite measure of environmental degradation and employing the appropriate estimation of the cointegrating polynomial relationship developed by Wagner (2015). The proposed estimation model is an extension of a fully modified estimator of Phillips and Hansen (1990). Additionally, the model specification and... (More)
Empirical EKC literature has conceptual flaws that arise due to the inclusion of polynomials and cointegrating relationships of powers of integrated processes. Additionally, previous studies focused on a narrow nexus between environmental degradation and economic growth that yield only a partial EKC. Considering hereinabove mentioned points the aim of this study is to assess the EKC hypothesis in the case of Georgia using a composite measure of environmental degradation and employing the appropriate estimation of the cointegrating polynomial relationship developed by Wagner (2015). The proposed estimation model is an extension of a fully modified estimator of Phillips and Hansen (1990). Additionally, the model specification and cointegrating relationship have been tested using a special KPSS-type test derived by Wagner (2015). The main findings suggest that an inverted U-shaped relationship exists when changes in biocapacity deficit/reserve, Kyoto basket of greenhouse gas emissions, and carbon dioxide emissions are incorporated into the analysis. However, Environmental Degradation Index does not support the existence of EKC. (Less)
Please use this url to cite or link to this publication:
author
Suleymanli, Farahim LU
supervisor
organization
course
NEKN01 20221
year
type
H1 - Master's Degree (One Year)
subject
keywords
Environmental Kuznets Curve, integrated processes, Planetary Boundary, Environmental Degradation Index
language
English
id
9083544
date added to LUP
2022-10-10 09:25:37
date last changed
2022-10-10 09:25:37
@misc{9083544,
  abstract     = {{Empirical EKC literature has conceptual flaws that arise due to the inclusion of polynomials and cointegrating relationships of powers of integrated processes. Additionally, previous studies focused on a narrow nexus between environmental degradation and economic growth that yield only a partial EKC. Considering hereinabove mentioned points the aim of this study is to assess the EKC hypothesis in the case of Georgia using a composite measure of environmental degradation and employing the appropriate estimation of the cointegrating polynomial relationship developed by Wagner (2015). The proposed estimation model is an extension of a fully modified estimator of Phillips and Hansen (1990). Additionally, the model specification and cointegrating relationship have been tested using a special KPSS-type test derived by Wagner (2015). The main findings suggest that an inverted U-shaped relationship exists when changes in biocapacity deficit/reserve, Kyoto basket of greenhouse gas emissions, and carbon dioxide emissions are incorporated into the analysis. However, Environmental Degradation Index does not support the existence of EKC.}},
  author       = {{Suleymanli, Farahim}},
  language     = {{eng}},
  note         = {{Student Paper}},
  title        = {{Georgian Environmental Kuznets Curve: An Appropriate Estimation.}},
  year         = {{2022}},
}