This study analyses the effect of economic growth to ASEAN countries on the environment and more specifically test the existence of an Environmental Kuznets Curve. The fixed-effects and panel cointegration models followed by FMOLS and DOLS have been utilized in determining factors that influence carbon dioxide emissions in ASEAN countries (Brunei, Indonesia, Cambodia, Myanmar, Malaysia, Philippines, Singapore, Thailand, Lao, and Vietnam). The results support the environmental Kuznets curve hypothesis. Moreover, energy consumption has significant effect to carbon dioxide while quality of institutions and foreign direct investment are insignificant. From the findings it is hoped that it can give useful information to the influence of the variables to the pollution of carbon dioxide in ASEAN.
Annotation in English
This study analyses the effect of economic growth to ASEAN countries on the environment and more specifically test the existence of an Environmental Kuznets Curve. The fixed-effects and panel cointegration models followed by FMOLS and DOLS have been utilized in determining factors that influence carbon dioxide emissions in ASEAN countries (Brunei, Indonesia, Cambodia, Myanmar, Malaysia, Philippines, Singapore, Thailand, Lao, and Vietnam). The results support the environmental Kuznets curve hypothesis. Moreover, energy consumption has significant effect to carbon dioxide while quality of institutions and foreign direct investment are insignificant. From the findings it is hoped that it can give useful information to the influence of the variables to the pollution of carbon dioxide in ASEAN.
Keywords
ASEAN, economic growth, environmental degradation, GDP, CO2, energy consumption, FDI, panel data analysis
Keywords in English
ASEAN, economic growth, environmental degradation, GDP, CO2, energy consumption, FDI, panel data analysis
Length of the covering note
45 pages
Language
AN
Annotation
This study analyses the effect of economic growth to ASEAN countries on the environment and more specifically test the existence of an Environmental Kuznets Curve. The fixed-effects and panel cointegration models followed by FMOLS and DOLS have been utilized in determining factors that influence carbon dioxide emissions in ASEAN countries (Brunei, Indonesia, Cambodia, Myanmar, Malaysia, Philippines, Singapore, Thailand, Lao, and Vietnam). The results support the environmental Kuznets curve hypothesis. Moreover, energy consumption has significant effect to carbon dioxide while quality of institutions and foreign direct investment are insignificant. From the findings it is hoped that it can give useful information to the influence of the variables to the pollution of carbon dioxide in ASEAN.
Annotation in English
This study analyses the effect of economic growth to ASEAN countries on the environment and more specifically test the existence of an Environmental Kuznets Curve. The fixed-effects and panel cointegration models followed by FMOLS and DOLS have been utilized in determining factors that influence carbon dioxide emissions in ASEAN countries (Brunei, Indonesia, Cambodia, Myanmar, Malaysia, Philippines, Singapore, Thailand, Lao, and Vietnam). The results support the environmental Kuznets curve hypothesis. Moreover, energy consumption has significant effect to carbon dioxide while quality of institutions and foreign direct investment are insignificant. From the findings it is hoped that it can give useful information to the influence of the variables to the pollution of carbon dioxide in ASEAN.
Keywords
ASEAN, economic growth, environmental degradation, GDP, CO2, energy consumption, FDI, panel data analysis
Keywords in English
ASEAN, economic growth, environmental degradation, GDP, CO2, energy consumption, FDI, panel data analysis
Research Plan
The objective of this study is to test the existence of environmental Kuznets curve (EKC). EKC is an expression coined by Grossman and Krueger (1995), that establishes a non linear relationship between environmental degradation and economic development. In the early stages of development the relationship is positive and becomes negative at higher levels of economic development. The study will focus on ASEAN-4 Countries over the period of 1970-2014.
The thesis is structured in three main parts. The first part will be introduction which includes the background, motivation and research questions. The second part is devoted to the theoretical framework and methodology. It provides a literature review, the empirical framework and empirical findings. The last part is the conclusion that summarizes the main findings and possible policy implication.
This study will rely on an econometric analysis along with descriptive statistics presenting the main stylized facts on the quality of environment and economic development.
Research Plan
The objective of this study is to test the existence of environmental Kuznets curve (EKC). EKC is an expression coined by Grossman and Krueger (1995), that establishes a non linear relationship between environmental degradation and economic development. In the early stages of development the relationship is positive and becomes negative at higher levels of economic development. The study will focus on ASEAN-4 Countries over the period of 1970-2014.
The thesis is structured in three main parts. The first part will be introduction which includes the background, motivation and research questions. The second part is devoted to the theoretical framework and methodology. It provides a literature review, the empirical framework and empirical findings. The last part is the conclusion that summarizes the main findings and possible policy implication.
This study will rely on an econometric analysis along with descriptive statistics presenting the main stylized facts on the quality of environment and economic development.
Recommended resources
Acaravci, A., & Ilhan, O. (2010). On the relationship between energy consumption, CO2 emissions and economic growth in Europe. Energy Vol. 35, Issue 12.
Grossman, G. M. and Krueger, A. B. (1995) 'Economic Growth and the Environment', The Quarterly Journal of Economics, 110(2), pp. 353-377. doi: 10.2307/2118443.
Halicioglu, F. (2009). An econometric study of CO2 emissions, energy consumption, income and foreign trade in Turkey. Energy Policy, Volume 37, Issue 3.
Jalil, A., & Mahmud, S. F. (2009). Environment Kuznets curve fo rCO2 emissions: A cointegration analysis for China. Energy Policy.
Kwiatkowski, D., Phillips, P. C., Schmidt, P., & Shin, Y. (1992). Testing the null hypothesis of stationarity against the alternative of a unit root: How sure are we that economic time series have a unit root? Journal of Econometrics Volume 54.
Lahiani, A. (2018). Revisiting the growth-carbon dioxide emissions nexus in Pakistan. Environmental Science and Pollution Research.
Pesaran, M. H., Shin, Y., & Smith, R. J. (2001). Bounds testing approaches to the analysis of level relationships. Journal of Applied Econometrics.
Ridzuan, A. R., Noor, A. H., & Ahmed, E. M. (2014). The Impact of Foreign Direct Investment towards Carbon Dioxide Level: Pollution Havens Model for ASEAN5 Countries. Asian Journal of Agricultural Extension, Economics & Sociology.
Recommended resources
Acaravci, A., & Ilhan, O. (2010). On the relationship between energy consumption, CO2 emissions and economic growth in Europe. Energy Vol. 35, Issue 12.
Grossman, G. M. and Krueger, A. B. (1995) 'Economic Growth and the Environment', The Quarterly Journal of Economics, 110(2), pp. 353-377. doi: 10.2307/2118443.
Halicioglu, F. (2009). An econometric study of CO2 emissions, energy consumption, income and foreign trade in Turkey. Energy Policy, Volume 37, Issue 3.
Jalil, A., & Mahmud, S. F. (2009). Environment Kuznets curve fo rCO2 emissions: A cointegration analysis for China. Energy Policy.
Kwiatkowski, D., Phillips, P. C., Schmidt, P., & Shin, Y. (1992). Testing the null hypothesis of stationarity against the alternative of a unit root: How sure are we that economic time series have a unit root? Journal of Econometrics Volume 54.
Lahiani, A. (2018). Revisiting the growth-carbon dioxide emissions nexus in Pakistan. Environmental Science and Pollution Research.
Pesaran, M. H., Shin, Y., & Smith, R. J. (2001). Bounds testing approaches to the analysis of level relationships. Journal of Applied Econometrics.
Ridzuan, A. R., Noor, A. H., & Ahmed, E. M. (2014). The Impact of Foreign Direct Investment towards Carbon Dioxide Level: Pollution Havens Model for ASEAN5 Countries. Asian Journal of Agricultural Extension, Economics & Sociology.
Enclosed appendices
1 CD with each copy
Appendices bound in thesis
graphs, tables
Taken from the library
Yes
Full text of the thesis
Appendices
Reviewer's report
Supervisor's report
Defence procedure record
Annisa Caesara Hidayati presented the results of the diploma thesis - The Environmental Kuznets Curve in ASEAN-4 Countries (Indonesia, Malaysia, Philippines, and Thailand). Student showed the total CO2 emissions and CO2 emissions per capita in various countries/regions, she also mentioned the objectives of the thesis and used methods. Committee was familiarized with both reviews from supervisor and reviewer. Discussion followed - student answered the questions related to the mechanisms through which FDIs and the quality of institutions in ASEAN countries could have an effect on CO2 emissions per capita or why FDIs have negative effect on CO2 emissions and why the author did not introduce the trade openness.