Revisiting the Income Elasticity of Energy Consumption: A Heterogeneous, Common Factor, Dynamic OECD & non-OECD Country Panel Analysis

2018 ◽  
Author(s):  
Brant Liddle ◽  
Hillard Huntington
Keyword(s):  
Energy Consumption ◽  
Income Elasticity ◽  
Common Factor ◽  
Oecd Country ◽  
Panel Analysis

scholarly journals Consumption-Based Accounting and the Trade-Carbon Emissions Nexus in Asia: A Heterogeneous, Common Factor Panel Analysis

2018 ◽  
Vol 10 (10) ◽  
pp. 3627 ◽  
Author(s):  
Brantley Liddle
Keyword(s):  
Carbon Emissions ◽  
Fossil Fuels ◽  
Common Factor ◽  
Trade Flows ◽  
Carbon Intensity ◽  
Panel Analysis ◽  
Asian Countries ◽  
Republic Of China ◽  
Domestic Use ◽  
Global Carbon

This paper considers a recently developed consumption-based carbon emissions database from which emissions calculations are made based on the domestic use of fossil fuels plus the embodied emissions from imports minus exports, to test directly for the importance of trade in national emissions. The People’s Republic of China (PRC) alone is responsible for over half the global outflows of carbon via trade. The econometric estimations—which focused on a panel of 20 Asian countries—determined that: (i) trade flows were significant for consumption-based emissions but not for territory-based emissions; and (ii) exports and imports offset each other in that exports lower consumption-based emissions, whereas imports increase them. Hence, all countries should have both an interest and a responsibility to help lower the carbon intensity of energy in countries that are particularly important for global carbon transfers—the PRC and India.

Energy Consumption - Economic Growth Relationship and Carbon Emissions in Twelve Provinces of West of China

2012 ◽  
Vol 178-181 ◽  
pp. 885-892 ◽  
Author(s):  
Yong Ping Bai ◽  
Jing Yang
Keyword(s):  
Economic Growth ◽  
Energy Consumption ◽  
Carbon Emissions ◽  
Income Elasticity ◽  
Gdp Per Capita ◽  
Great Effort ◽  
Real Gdp ◽  
Real Gdp Per Capita ◽  
Per Capita ◽  
Level Group

This paper applies the panel unit root, heterogeneous panel cointegration and panel-based dynamic OLS to re-investigate the co-movement and relationship between energy consumption and economic growth for 12 provinces(autonomous regions, municipalities) in West of China from 1989 to 2009. The empirical results show that there is a positive long-run cointegrated relationship between real GDP per capita and energy consumption variables. Furthermore, we investigate three cross-regional groups, namely the stronger-level, medium-level and weaker-level groups, and get more important results and implications. In the long-term, a 1% increase in real GDP per capita increases the consumption of energy by different rates for three groups respectively, and subsequently it increases at different rates in three groups of the carbon emissions in West of China. The economic growth in stronger-level group is energy-dependent to a great extent, and the income elasticity of energy consumption in stronger-level group is over several times than that of the weaker-level groups. At present, West of China are subject to tremendous pressures formitigating climate change issues. It is possible that the GDP per capita elasticity of carbon emissions would be controlled in a range that orients sustainable development by the great effort.

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