scholarly journals The Causal Connection between CO2 Emissions and Agricultural Productivity in Pakistan: Empirical Evidence from an Autoregressive Distributed Lag Bounds Testing Approach

2019 ◽  
Vol 9 (8) ◽  
pp. 1692 ◽  
Author(s):  
Abdul Rehman ◽  
Ilhan Ozturk ◽  
Deyuan Zhang

The rapid agricultural development and mechanization of agronomic diligence has led to a significant growth in energy consumption and CO2 emission. Agriculture has a dominant contribution to boosting the economy of any country. In this paper, we demonstrate carbon dioxide emissions’ association with cropped area, energy use, fertilizer offtake, gross domestic product per capita, improved seed distribution, total food grains and water availability in Pakistan for the period of 1987-2017. We employed Augmented Dickey-Fuller and Phillips-Perron unit root tests to examine the variables’ stationarity. An autoregressive distributed lag (ARDL) bounds testing technique to cointegration was applied to demonstrate the causality linkage among study variables from the evidence of long-run and short-run analyses. The long-run evidence reveals that cropped area, energy usage, fertilizer offtake, gross domestic product per capita and water availability have a positive and significant association with carbon dioxide emissions, while the analysis results of improved seed distribution and total food grains have a negative association with carbon dioxide emissions in Pakistan. Overall, the long-run effects are stronger than the short-run dynamics, in terms of the impact of explanatory variables on carbon dioxide emission, thus making the findings heterogeneous. Possible initiatives should be taken by the government of Pakistan to improve the agriculture sector and also introduce new policies to reduce the emissions of carbon dioxide.

2015 ◽  
Vol 13 (1) ◽  
pp. 642-651
Author(s):  
Kunofiwa Tsaurai

The exchange rate led foreign direct investment (FDI), FDI led exchange rates and feedback effect hypotheses summarise the literature around the nature of the relationship between FDI and exchange rates. So many authors on this subject over a long period have been found to generally side with of the above-mentioned hypothesis or another without a consensus. Despite this lack of consensus with regard to the exact nature of the causal relation between these two variables, what is coming out clearly from the literature is that there indeed exist a relationship between FDI and exchange rates. The lack of consensus has prompted this current study that used the ARDL (Autoregressive distributed lag)-bounds testing approach. The study revealed the existence of causality from (1) the rand value to FDI in the long run and (2) FDI to the rand value only in the short run in South Africa. The author recommends that policies which strengthen the value of the rand should be put in place in order to attract FDI in the long run. The flow of FDI into South Africa will in turn not only stabilises the value of the rand.


2018 ◽  
Vol 6 (9) ◽  
pp. 178-195
Author(s):  
Aliyu Alhaji Jibrilla

This study empirically evaluates whether Green House Gases (GHGs) significantly increase with the rising population and urban growth in Nigeria. In addition, the study examine whether the energy demand also influences Nigerian contribution of global pollution emissions. The results of the Autoregressive Distributed Lag (ARDL) cointegration test indicated long-run and stable relationships among the variables. For affluence, we find evidence that, in the long run, domestic per capita income significantly increases carbon dioxide emissions and then falls after a certain extreme point, providing evidence of an inverted EKC hypothesis in Nigeria. The EKC finding was further supported by appropriate inverted U test. The results also demonstrated that both urbanisation and population change do not have a long term effect on emissions; although urbanisation seems to significantly raise emissions in the short-run.  Energy demand has been found to have a significantly positive elasticity effect on carbon dioxide emissions both in the long- and short-run. The short-run Granger causality results indicate that, all variables make a short-run adjustment to correct any deviation from the long-run equilibrium. In addition, analysis of the error correction models reveals that all of the variables contribute to their stable long-run relationship.


2017 ◽  
Vol 64 (1) ◽  
pp. 19-31 ◽  
Author(s):  
Olcay Çolak ◽  
Serap Palaz

Abstract Occupational accidents are among the most important issues of the agenda of working life in Turkey recently. Recently the causes and consequences of occupational accidents which are related to human, occupational and environmental factors have received great attention from the researchers but it has been paid little attention to focused on economic factors. The purpose of this paper is to make a contribution to redressing this gap by examining the relationship between fatal occupational accidents and economic development over the period of 1980 to 2012 for Turkey. In this context, bounds testing approach which is also known as autoregressive distributed lag model is performed. The results indicate the existence of positive relationship between gross domestic product per capita and fatal occupational accidents in the short-run while in the long run this turns out to be in a negative way via economic growth and changes in structure of the economy.


2020 ◽  
pp. 097215092092543 ◽  
Author(s):  
Zouheir Mighri ◽  
Hanen Ragoubi

This article investigates the causal nexus between electricity consumption and economic growth in Tunisia for the period 1971–2013 by using autoregressive distributed lag (ARDL) bounds testing approach of cointegration and Granger causality tests. The empirical findings indicate the existence of a long-term relationship between electricity consumption and economic growth. Besides, they support the conservation hypothesis in the long run, while they confirm the growth hypothesis in the short run.


2016 ◽  
Vol 8 (12) ◽  
pp. 10 ◽  
Author(s):  
Brian K. Masinde ◽  
Steven Buigut ◽  
Joseph K. Mung'atu

<p>Terrorist attacks have escalated over the recent years in Kenya, with adverse effects on the tourism industry. This study aims to establish if a long-run equilibrium exists between terrorism and tourism in Kenya between the years 1994 and 2014. To reinforce the robustness of the results, both Autoregressive Distributed Lag (ARDL) bounds testing and the Vector Error Correction Model (VECM) techniques are used to investigate the problem. A Granger causality test is also carried out to ascertain the direction of the relationship if one exists. The evidence from ARDL and the VECM testing procedure suggest that there is no long-run equilibrium between terrorism and tourism in Kenya. Terrorism does not Granger cause tourism and vice versa. However, short-run effect indicates that terrorism negatively and significantly affects tourism.</p>


2017 ◽  
Vol 64 (1) ◽  
pp. 19-31
Author(s):  
Olcay Çolak ◽  
Serap Palaz

Abstract Occupational accidents are among the most important issues of the agenda of working life in Turkey recently. Recently the causes and consequences of occupational accidents which are related to human, occupational and environmental factors have received great attention from the researchers but it has been paid little attention to focused on economic factors. The purpose of this paper is to make a contribution to redressing this gap by examining the relationship between fatal occupational accidents and economic development over the period of 1980 to 2012 for Turkey. In this context, bounds testing approach which is also known as autoregressive distributed lag model is performed. The results indicate the existence of positive relationship between gross domestic product per capita and fatal occupational accidents in the short-run while in the long run this turns out to be in a negative way via economic growth and changes in structure of the economy.


2017 ◽  
Vol 12 (1) ◽  
pp. 80-88 ◽  
Author(s):  
Vlatka Bilas ◽  
Mile Bosnjak ◽  
Ivan Novak

AbstractThis paper examines the relationship between financial development and international trade in Croatia over the period from the first quarter of 1997 and the last quarter of 2015. The autoregressive distributed lag (ARDL) bounds testing approach to cointegration is applied to examine the long-run and short-run relationships among the series. The research hypothesis is accepted and the relationship between financial development and international trade in Croatia is established and confirmed. The research results reveal unidirectional Granger causality from financial development to international trade at the 10% significance level, and negative long-run and the positive short-run relationships between financial developments and international trade in Croatia.


2019 ◽  
Vol 5 (1) ◽  
pp. 18
Author(s):  
Rafaela Maiara Caetano ◽  
Cleomar Gomes Da Silva

<p>The aim of this article is to investigate the determinants of consumer confidence in Brazil and possible impacts on monetary policy actions. The econometric methodology applied is based on Autoregressive Distributed Lag (ARDL) Models, particularly the Bounds Testing (ARDL) Approach to Cointegration. For monthly data between January 2003 and December 2016, the empirical results suggest that there is a long run relationship between consumer confidence and the other variables analyzed. As for short-run dynamics, the error correction mechanism varies between 1.9% and 8.7%, depending on the estimated model. This suggests that economic variables influence consumer confidence, and when there is a break in confidence, its recovery is very slow.</p>


2020 ◽  
Vol 38 (5) ◽  
pp. 2059-2078 ◽  
Author(s):  
Philip C Omoke ◽  
Silva Opuala-Charles ◽  
Chinazaekpere Nwani

This study examines the impact of financial development on carbon dioxide emissions in Nigeria over the period 1971–2014. Income per capita, energy consumption, exchange rate and urbanization are incorporated in the analysis. The empirical analysis based on linear and nonlinear autoregressive distributed lag techniques provides evidence of long-run relationship among the variables in Nigeria. The results in general show that financial development has significant asymmetric effects on carbon dioxide emissions in Nigeria. Both short-run and long-run analyses show that the impact of positive changes in financial development on carbon dioxide emissions is significantly different from that of negative changes. The results suggest that in Nigeria positive shocks in financial development have significant reducing effect on carbon dioxide emissions, while negative shocks in financial development have significant increasing effect on carbon dioxide emissions. The empirical results also show that the response of carbon dioxide emissions to negative shocks in financial development is stronger. Based on these findings, this study concludes that mitigation policies would need to incorporate strategies to strengthen the depth of financial intermediation in the Nigerian economy.


Energies ◽  
2019 ◽  
Vol 12 (24) ◽  
pp. 4644 ◽  
Author(s):  
Sajjad Ali ◽  
Li Gucheng ◽  
Liu Ying ◽  
Muhammad Ishaq ◽  
Tariq Shah

This study aims to explore the casual relationship between agricultural production, economic growth and carbon dioxide emissions in Pakistan. An autoregressive distributed lag (ARDL) model is applied to examine the relationship between agricultural production, economic growth and carbon dioxide emissions using time series data from 1960 to 2014. The Augmented Dickey–Fuller (ADF), Phillips–Perron (PP) and Kwiatkowski–Phillips–Schmidt–Shin (KPSS) tests are used to check the stationarity of variables. The results show both short-run and long-run relationships between agricultural production, gross domestic product (GDP) and carbon dioxide emissions in Pakistan. From the short-run estimates, it is found that a 1% increase in barley and sorghum production will decrease carbon dioxide emissions by 3% and 4%, respectively. The pairwise Granger causality test shows unidirectional causality of cotton, milled rice, and sorghum production with carbon dioxide emissions. Due to the aforementioned cause, it is essential to manage the effects of carbon dioxide emissions on agricultural production. Appropriate steps are needed to develop agricultural adaptation policies, improve irrigation facilities and introduce high-yielding and disease-resistant varieties of crops to ensure food security in the country.


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