Ecological Economics | VOL. 62
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Energy consumption, income, and carbon emissions in the United States

Publication Date May 1, 2007

Abstract

Abstract This paper investigates the effect of energy consumption and output on carbon emissions in the United States. Earlier research focused on testing the existence and/or shape of an environmental Kuznets curve without taking energy consumption into account. We investigate the Granger causality relationship between income, energy consumption, and carbon emissions, including labor and gross fixed capital formation in the model. We find that income does not Granger cause carbon emissions in the US in the long run, but energy use does. Hence, income growth by itself may not become a solution to environmental problems.

Concepts

Carbon Emissions Energy Consumption Income Growth United States Energy Use Energy Carbon Emissions Shape Of Curve Energy Output Environmental Kuznets Curve Granger Causality Relationship

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