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Dynamics of international trade, technology innovation and environmental sustainability

Evidence from Asia by accounting for cross-sectional dependence

Bibliographic Data

ID21600166
AuthorsUsman Ali (0000-0002-2039-1630, Dalian University of Technology), Yanxi Li (0000-0002-4118-5684, Dalian University of Technology, corresponding author), Verónica Patricia Yánez Morales (Pontificia Universidad Católica del Ecuador), Babar Hussain (0000-0001-9649-7813, International Institute of Islamic Economics, International Islamic University, Islamabad, Pakistan)
Year2021
Volume64
Issue10
Pages1864-1885
Publication date2021-08-24
Peer ReviewedYes
Open AccessNo
TypeARTICLE
VenueJournal of Environmental Planning and Management (JOURNAL)
Journal identifiersISSN: 0964-0568 • E-ISSN: 1360-0559
PublisherInforma UK Limited (PUBLISHER • GB)
DOI10.1080/09640568.2020.1846507
OpenAlexW3122427787
LanguageEN
Citations received14
References cited53

This study explores the mechanism of how trade openness (TO) affects CO2 emissions via the scale and technique effects in the Asian region over the 1990–2015 period. The results obtained by employing cross-sectional augmented estimators indicate that: (i) trade-induced technology innovation (TI) reduces CO2 emissions; (ii) trade-facilitated economic growth results in higher CO2 emissions; (iii) the positive scale effect outweighs the negative technique effects. Furthermore, TO also produces a rebound effect of TI on emissions for Southern and Western Asia. The Dumitrescu–Hurlin causality test reveals that TO Granger causes economic growth and TI, which in turn cause CO2 emissions. Besides, quadri-directional causality is observed between TO, TI, energy consumption and emissions, suggesting that these variables are mutually reinforcing. The findings suggest that the goals of environmental sustainability can be attained if the pace of national output growth is accompanied by environmental regulations and clean technology improvements when framing comprehensive trade policy

Econometrics · Economics · Granger causality · Greenhouse gas · International economics · International trade · Kuznets Curve · Openness to experience · Sustainability · Energy, Environment, and Transportation Policies · Energy, Environment, Economic Growth · Environmental Impact and Sustainability

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Unique citing works14
Citations per year3,5
Citation span2022 - 2026 (5)
Citation velocitycurrent
Highly citedNo
Citation typesNeutral: 14

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