Dynamic Analysis of CO2 Emissions and Their Determinants in the Countries of Central and Eastern Europe

Abstract

This study addresses the problem of the relationship between the adopted development path and the emission levels of greenhouse gases. The analysis includes the countries of Central and Eastern Europe that joined the EU in 2004–2018. This study used a dynamic analysis due to the nature of the changes taking place, which cannot be assessed in static terms. The results of the research conducted so far for this group of countries have been inconclusive. The countries studied have the aim of accelerating economic growth in order to reduce their distance from other EU countries on the one hand, while attempting to pursue a policy favoring the reduction of greenhouse gas emissions, on the other. The aim of this evaluation was to determine the relationship between GDPs per capita and CO2 emissions and to establish the factors determining this relationship. The results for the whole group showed the presence of N-shaped EKCs. This study showed the importance of energy productivity and demographic factors as well as the pace of GDP growth. This research extended the scope of research on CO2 emissions and their determinants through the use of dynamic methods, as well as the complex course of their relation to GDP per capita in Central Eastern European Countries.