The dynamics of CO2 emissions, energy consumption, and economic development: evidence from the top 28 greenhouse gas emitters.

Lei Jin,Xin-Zhu Zheng,Meng Wang,Jian-Xun Yang,Jin Gu,Yuan-Hua Chang

doi:10.1007/s11356-021-18069-y

Abstract

Previous studies have done more research on the relationship between carbon emission reduction, energy consumption, and economic growth in specific countries or regions, which rarely consider the issue of heterogeneity between countries or regions, and also lack the refinement of energy consumption categories. Using panel data from 2000 to 2017, this paper divided the top 28 global carbon emission countries into developed countries and developing countries, and explores co-integration and causality between renewable energy consumption, non-renewable energy consumption, economic growth, and carbon emission. Results suggested that there is a two-way causal relationship between carbon emissions and economic growth in all economies. There is a two-way causal relationship between economic growth in developed countries and consumption of renewable and non-renewable energy, while there is no significant relationship between economic growth and energy consumption in developing countries. There is a two-way causal relationship between carbon emissions and renewable energy in all economies, but there are significant differences; there is a two-way causal relationship between carbon emissions in developed countries and non-renewable energy, and only one-way causality exists in developing countries.

Highlights

In 2015, 196 countries signed the ParisAgreement at the World Climate Conference.In order to reach the target, signatories have adjusted their energy consumption structure to reduce carbon emissions
Carbon emissions have a negative impact on the economic development of all kinds of economies, which indicates that the growth of carbon emissions causes environmental pollution and has a significant inhibitory effect on economic development, hindering the sustainable development of the global economy, on the other hand, The development of various economies has a negative impact on carbon emissions, but the effect is very weak, This shows that the efforts made by countries to achieve green and low-carbon development have achieved initial results, just effect is not significant, countries in the process of economic development still need to further increase the intensity of emission reduction, to ensure global emissions reduction targets
We divide the top 28 countries of carbon emissions into developed and developing countries, and use the data from 2000-2017 to test the cointegration and causality between renewable energy carbon emissions, consumption, nonrenewable energy consumption and economic growth, and obtain the following main conclusions: (1) From the perspective of all economies, the growth of carbon emissions leads to environmental pollution and has a significant negative impact on economic development, hindering the sustainable development of global society and economy

Summary

Introduction

In 2015, 196 countries signed the ParisAgreement at the World Climate Conference.In order to reach the target, signatories have adjusted their energy consumption structure to reduce carbon emissions. How to balance the relationship between carbon emission reduction, energy consumption structure and economic growth has become a global urgent problem to be solved. From the perspective of development practice, the main source of global carbon dioxide emissions is fossil energy, and reducing fossil energy consumption and increasing renewable energy consumption are the main ways to reduce emissions (Duan and Yang 2018) Whether such adjustment will lead to the increase of energy consumption cost and affect the development of regional economy has not been fully demonstrated, and there are certain controversies. How to change the existing economic development model, coordinate the relationship between economic growth, energy consumption and low-carbon emission reduction, and achieve low-carbon and green development of the global economy is a common problem faced by all countries in the world

Results

Discussion

Conclusion