The dynamics of CO2 emissions and economic growth: A comparative analysis using symbolic time series

Abstract

The aim of this paper is to analyze the dynamic relationship between economic growth and CO2 emissions for a set of 98 countries over the lengthy period from 1951 to 2014. We describe the topology and hierarchy of countries and introduce a different concept of economic performance based on the idea of dynamic regimes. These regimes are defined by the average levels of per-capita CO2 emissions and the growth rates of per-capita GDP. By presenting a nonparametric clustering technique, the paper identifies two main groups. One cluster can be identified as the group of developed countries, which presents a homogeneous structure and tends toward more similar dynamics over time. The other cluster, associated with developing countries, is homogeneous but the dynamics of the countries do not show convergence. The study also finds some, though little, mobility between the groups.