Dynamic causality testing for EKC hypothesis,pollution haven hypothesis and international trade in India

This study examines the causality relationships between foreign direct investment (FDI), economic growth (GDP) and CO₂ emissions along with the level of trade (exports and imports) taking place in India. The study uses data obtained from World Development Indicators (WDI) of World Bank Group for the period 1982–2013. The study employed the dynamic multivariate Toda-Yamamoto (TY) approach that uses the modified Wald (MWALD) test. Among the major findings of the study are: the existence of both Pollution Haven Hypothesis and Environmental Kuznets Curve (EKC) hypothesis in India. The other findings of the study are: FDI is causing exports; exports are causing imports; imports are causing CO₂ emissions; and finally CO₂ emissions and GDP are causing each other. This finding concludes mainly two things. First, India imports more of pollution-intensive manufactured goods. Second, FDI is causing GDP in India but through CO₂ emissions.     

CO2 emissions embodied in China’s export

ABSTRACT

The reduction of CO₂ emissions embodied in export will have an important role for China to achieve its CO₂ emissions peaking target. In this study, we use input–output analysis to examine the embodied CO₂ emissions in China’s export to its top largest trading countries from 2008 to 2015. We find that China’s exported CO₂ emissions peaked in 2008. More than 70% of embodied CO₂ emission were exported to only 20 countries, and CO₂ emissions exported to developing countries have been increasing. High-energy consumption sectors contribute to CO₂ emissions embodied in export significantly, such as Electricity, Gas and Water. We conclude that structural adjustment could be considered alongside technological improvements to curb China’s growing CO₂ emissions.     

How renewable energy consumption lower global CO2 emissions? Evidence from countries with different income levels

Significant difference in the emission–renewables nexus across countries with different income levels is frequently ignored in previous studies. To empirically investigate whether the effect of renewable energy consumption on carbon dioxide (CO₂) emissions differs across countries with different income levels, the emission–growth–renewables nexus for a global panel of 120 countries and four income-based subpanels over the period 1995–2015 is examined. Fully considering the potential cross-sectional dependence and slope heterogeneity, a series of econometric techniques allowing for cross-sectional dependence and slope heterogeneity is utilised. Cross-sectional dependence and slope heterogeneity are confirmed for the global panel as well as for all four subpanels. Only for the global panel, high-income subpanel and upper-middle-income subpanel is the environmental Kuznets curve (EKC) hypothesis valid. Renewable energy consumption has a negative effect on CO₂ emissions, but its effect is not significant; the mitigation effect may be obscured by higher economic growth and increasing non-renewable energy consumption. The global panel and four subpanels provide mixed directionality of causality among the variables, suggesting that for various income-based subpanels, significant differences exist in the effect of renewable energy consumption on CO₂ emissions, especially highlighting in various direct and indirect influencing paths between renewable energy consumption and CO₂ emissions.     

The role of stock markets on environmental degradation: A comparative study of developed and emerging market economies across the globe

It is well established in the literature that stock markets increase both economic activities and energy consumption across countries. Therefore, it is commonly believed that stock markets are expected to have a significant effect on CO₂ emissions. However, it is not known whether these stock markets can contribute to more or less CO₂ emissions. Hence, the goal of this study is to examine the impact of stock market indicators on CO₂ emissions across a global panel of both developed and emerging market economies. The results establish that stock market indicators have a significant negative and positive impact on carbon emissions in developed and emerging market economies, respectively. Furthermore, the findings illustrate the presence of the Environmental Kuznets Curve (EKC) hypothesis, implying that stronger stock markets lead to a further decline in carbon emissions. Given these findings, the study argues that the role of stock markets in the abatement of CO₂ emissions significantly varies across both developed and emerging market economies. Significant implications have to do with the fact that developed markets might have initiated effective policies on listed firms to minimize carbon emissions, while emerging markets are yet to achieve this.     

Investigating the causality links between environmental quality,foreign direct investment and economic growth in MENA countries

This paper investigates the causal relationship between environmental quality, Foreign Direct Investment and economic growth using simultaneous-equation panel data VAR model a panel of 17 MENA countries over the period 1990–2012. Our empirical results pointed out that there is a unidirectional causality running from both FDI stocks and CO₂ emissions to economic growth. They also indicate the existence of unidirectional causality running from economic growth to CO₂ emissions. However, the results support the occurrence of unidirectional causality from FDI stocks to CO₂ emissions. Our empirical result confirms the hypothesis of neutrality for the Environment-GDP link. There is bidirectional causality from ${\text{CO}}_2$emissions and economic growth, and a bidirectional causal relationship between FDI stocks and CO₂ emissions. For the global panel, we show that the existence of a unidirectional causality running from FDI stocks to economic growth; a bidirectional causality between economic growth and CO₂ emissions; as well as a bidirectional causality between FDI stocks and ${\text{CO}}_2$emissions.     

Trade openness,urbanization and CO2 emissions: Dynamic panel data analysis of middle-income countries

Using the Pooled Mean Group (PMG) approach of Pesaran, Shin, and Smith [1999. “Pooled Mean Group Estimation of Dynamic Heterogeneous Panels.” Journal of the American Statistical Association 94 (446): 621–634], this article attempts to empirically examine the heterogeneous effects of trade openness and urbanization on CO₂ emissions in 55 middle-income countries over the period from 1992 to 2012. We find that trade openness has a benign effect on the environment in the short run, but a harmful effect in the long run. Meanwhile, our results show that urbanization has a negative and significant impact on CO₂ emissions both in the short and long run, implying that urbanization improves environmental quality. The results are robust even after controlling for a number of factors such as economic or non-economic factors.     

Energy,carbon dioxide emissions,carbon taxes and the Chinese economy

Given the global characteristics of climate change and China's potential importance as a source of CO₂ emissions, advocates of controlling CO₂ emissions call for substantial efforts in China. However, the Chinese authorities have argued that China cannot be expected to make a significant contribution to the carbon emission problem unless it receives substantial international aid for this purpose. This contrasts sharply with the wishes of the proponents of controlling CO₂ emissions. This paper is devoted to explaining this difference in opinion by examining some aspects of the Chinese energy system and by analysing the economic implications of possible future CO₂ emissions limits in China.     

The Evolution of the Credit‐to‐GDP Ratio: An Empirical Analysis

We assess the persistence of the credit‐to‐GDP ratio over more than 130 years of data for 11 advanced economies, employing an approach based on fractional integration and allowing for nonlinearities. We show how the time series properties of the data changed around World War II (WWII). Moreover, our findings are consistent with the idea that the supply of mortgage loans has been particularly strong since WWII, in the sense that the degree of integration of the leverage ratio obtained with only these loans is larger than that of the ratio obtained with the total loans for almost all the studied countries. Nevertheless, it is generally the case that both types of ratios show a higher degree of integration after WWII than before it, though often insignificantly, and that their time trends are significant only after WWII.     

Economic growth and environmental degradation in Vietnam: Is the environmental Kuznets curve a complete picture?

Based on a sample of 1974–2016 annual data of Vietnam, we show that the EKC does not exist in the short run but only in the long run. However, the N-shape describes better the long-run income-pollution relationship. This implies that Vietnam can expect a temporary reduction in CO₂ emissions at a given stage of economic growth. However, this will be followed by a further increase of CO₂ emissions after reaching another income turning point. The Vietnamese government should thus focus on long-term economic and environmental strategies. A robustness check shows that these results are not impacted by the variables' selection.     

Convergence in pollution terms of trade

To construct pollution terms of trade (PTT) on the basis of CO₂ emissions, we implement the world input–output tables for 40 countries by 35 industries to account for intermediate trade. We examine whether the PTTs have converged among the 40 countries between 1995 and 2009. The empirical evidence supports PTT convergence; PTT growth is negatively related to its initial level and this empirical result is robust to various control variables.     

The expansion of branding in international marketing: The case of olive oil, 1870s–1930s

Abstract

Drawing on a variety of sources, this article investigates the emergence and expansion of branding in the international olive oil markets prior to World War II. It documents the rapid growth of the world trade in packaged olive oil from the 1870s onwards and shows that the main destinations of this consumer-ready product were in the Americas. In this respect, it complements previous findings based on the use of trademark registration figures. The article then argues that the expansion of canned and branded olive oil exports to the New World was the result of three interconnected factors: the mass migration of southern Europeans in the late nineteenth century and the formation of a new market on the other side of the Atlantic; significant transformations in the commodity chain of the product in the Americas during the first third of the twentieth century; and the problems of quality uncertainty and fraud in the emerging New World markets for olive oil. By analysing these factors, this study also provides evidence to further the debate on the purpose of branding and modern marketing.     

Mars or Mercury redux: The geopolitics of bilateral trade agreements

We analyse the role of economic and security considerations in bilateral trade agreements. We use the pre‐World War I period to test whether trade agreements are governed by standard gravity variables, or by instead—or in addition—geopolitical factors. While we like others find support for standard gravity variables, we also find that defence pacts boost the probability of trade agreements by as much as 20 percentage points. Our estimates imply that were the U.S. to alienate its geopolitical allies, the likelihood and benefits of successful bilateral agreements would fall significantly. Trade creation from an agreement between the U.S. and E.U. countries would decline by about 0.6 per cent of total U.S. exports.     

The choice of policy instruments for the control of carbon dioxide emissions

Increasing concern in scientific and policy-making circles about the possibility of global warming induced by the accumulation of CO₂ and other greenhouse gases in the atmosphere has promoted the consideration of policies to limit emissions of these gases. This paper gives an overview of policy instruments targeted at the control of CO₂ emissions, including the command-and-control approach, energy taxes, carbon taxes and tradeable carbon permits, with special attention being paid to the economic instruments.     

The Uses of Business History: A Contribution to the Discussion

This article relates the managerial enterprise (a firm in which decisions as to current production and distribution and allocation of resources for future production and distribution are made by salaried managers with little or no equity in the firms they operate in) to competitive success in the new capital-intensive industries that began to appear in the United States and Western Europe after the completion of modern transportation and communication networks. It begins by examining the reasons for the rapid rise of managerial firms in these industries, the global oligopolistic competition that ensued, and the organisational capabilities such competition engendered. It then reviews the competitive performance of such firms in global markets in chemicals, metals, electrical equipment, and heavy and light machinery in the early years of the century, motor vehicles in the inter-war years, and computers and semiconductors after World War II. These managerial firms grew by moving into foreign or related product markets. World War I, the Great Depression and World War II held back the full competitive impact of such growth until the 1960s. The response of US industrial firms to this intensive international, inter-industry competition of the 1960s brought unprecedented changes on the competitive capabilities of US managerial enterprises in such capital-intensive industries.     

A Centennial of Anti‐dumping Legislation and Implementation: Introduction and Overview

A century has passed since the Government of Canada adopted the first recorded anti‐dumping law in 1904. The Canadian legislation was soon followed by similar legislation in most of the major trading nations in the industrialised world prior to and after World War I. Anti‐dumping provisions were later incorporated into the General Agreement on Tariffs and Trade (GATT) following World War II. Nowadays, virtually all of the industrialised and developing countries in the world economy have adopted anti‐dumping legislation. In view of the long and increasingly widespread use of anti‐dumping measures, we marked the centennial of Canada's 1904 legislation with a symposium at the University of Michigan on 12 March, 2004. The symposium papers document the experiences with anti‐dumping and then ask whether and how anti‐dumping can be reformed. Although we all would probably agree that the best solution would be to retract all anti‐dumping legislation, this is unlikely to happen in the foreseeable future. Anti‐dumping laws serve a variety of purposes, and powerful political forces stand in the way of eliminating these laws. Anti‐dumping provides a stronger and more focused means of safeguards protection against surges of imports than GATT‐legal safeguards laws permit. Anti‐dumping also formalises a meaning for ‘unfair trade’ that, though essentially meaningless from an economic standpoint, strikes a chord in public perception. And finally, in spite of its appearance of being constrained by objective administrative rules, anti‐dumping in practice is a potent political tool that governments are able to manipulate in order to satisfy powerful constituents. With all this going for it, anti‐dumping is unlikely ever to be relinquished as an economic policy tool by governments.     

Speed Intensity and the Rise of the Chinese Economies

Producers of speed‐intensive goods, e.g. clothing or electronics, face markets that are in constant flux due to changing fashion or technology. Throughout the twentieth century, Chinese business networks have had a comparative advantage in producing speed‐intensive goods due to their quick reaction time. This comparative advantage was of relatively little value prior to the Second World War, but since the war, international telephone and air services have made international trade in speed‐intensive goods practical. This has caused the demand for speed‐intensive goods on the international market to grow at an extremely rapid pace. This growth in demand can explain the post‐Second World War economic booms experienced by Hong Kong, Taiwan and finally China.     

The changing pattern of foreign trade

Like many of the other less developed countries, one of the major sources of growth in the Nigerian economy is foreign-oriented. With exports accounting for close to one-fifth of the Gross Domestic Product and imports representing about the same proportion, external trade since World War II has been of particular importance to the economy.     

Robertson's model: a framework for exploration of World War II conservation consumption policy influence on fashion in the US

This paper studies pertinent materials related to the conservation of textile apparel and textile‐related natural resources that appeared in poster campaign communications published during the Second World War in the US. An examination of World War II poster campaign communications conveying the need for conservation efforts and rationing as communicated to consumers infers the historical context of the era. These poster campaign communications asked consumers to utilize fully of limited resources while maintaining a sense of individuality and trend‐setting creativity and fashion. World War II shortages and allocations influenced fashion innovations in women's apparel in the US. This paper provides a retrospective examination of innovative trends and the various conservation themes associated with women's fashion identify themes used to influence and to inspire Americans to reuse and recycle in support of the war effort. At no other time in history was voluntary textile conservation as prevalent in mainstream American culture as it was during the 1940s. Content analysis reveals reoccurring themes that appeared in the advertisements developed by the War Advertising Council in the 1940s and used in their poster campaign advertisements. Themes and conservation activities identified in their poster campaign communications included

• ? ‘America's New Role as Fashion Arbiters’;
• ? ‘Conserve Time, Money, Materials for National Defense Program’;
• ? ‘War Production Board General Limitations Order L‐85 – Fabric Conservation on Silhouette Dimensions’;
• ? ‘Fashion for Victory’;
• ? ‘Beauty in Peace and War’;
• ? ‘Fabric Conservation’;
• ? ‘Teaching Consumers How to Conserve’;
• ? ‘You're In the War Too’;
• ? ‘Wearing Clothes More’;
• ? ‘Changing Materials for War [Nylon]’.

In addition, print communications were categorized according to Robertson's adoption process model. This study found evidence that supports that Robertson's adoption process model was a useful tool in studying these poster campaign communications relative to Robertson's decision‐making process.     

Quantifying the evolution of world trade, 1870–1949

The typical narrative regarding the evolution of world trade prior to World War II refers to a secular rise starting around 1870 and a subsequent collapse beginning in 1914. This narrative, however, is based on measures of trade openness that do not fully take into account purchasing power differences across countries. Due to lack of alternative data, the measures employed in the existing literature are typically based on non-PPP-adjusted trade data denominated by PPP-adjusted GDP data. The present paper seeks to resolve this inconsistency by constructing new trade share estimates for 62 countries, representing 90% of world GDP, for the period from 1870 to 1949. Our estimates combine historical import and export figures with non-PPP-adjusted GDP values that we estimate via the short-cut method. Our estimates confirm qualitatively the narrative of a dramatic rise and fall of world trade over this period. Yet, they indicate that this rise and fall was quantitatively much more pronounced. We find that trade shares were on average 38% higher than previously documented and the world's level of trade openness in 1913 was comparable to that in 1974.     

Is Globalisation in Danger?

This paper compares the globalisation experience of the late 19^th century with that of the post world war period. It notes the enormous changes in the world economy arising from the increasing participation of the developing countries in the world goods, labour and capital markets and the reduction in the cost of communications that has underlined these changes. More importantly globalisation was made by a consensus on trade, debt and macroeconomics which has led to policy reforms in developing countries including China whose entry into the WTO provides a high watermark in globalisation of the latter period. The paper notes that globalisation is not in danger of reversal given that the forces that led to this outcome in the earlier period have become weak. Ideas, interests, international relations and stability achieved in the post World War period gives ground for qualified optimism about the continuation of globalisation.