A meta-analysis of the economic impact of carbon emissions in Africa

This study aims to investigate the relationships between economic development and environmental degradation regarding the emissions of CO₂ and SO₂ in Southeast Asia (SEA). The pooling data consist of 10 countries, Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Singapore, the Philippines, Thailand, and Vietnam, in the period 2003-2012. Furthermore, income elasticity of CO₂ and SO₂ emissions is computed for each country to observe the sensitivity of environmental degradation through the emissions of CO₂ and SO₂ brought by economic development.
The results indicate that CO₂ displays an inverted U-shape pattern, whereas SO₂ has decreased at an increasing rate since 2003. It is expected that SO₂ will increase as the SEA economies further develop. The turning points for both CO₂ and SO₂, indicate that the current SEA income level has not reached the turning point. The income elasticities show that income elasticities for CO₂ are positive for all 10 countries. Both Singapore and Malaysia are classified as countries with high income. However, Singapore, with 0.64%, has the highest income elasticity, and Malaysia, with 0.15%, has the second lowest. There is no indication that wealthy countries have a significant impact on CO₂ through economic development. Income elasticities for SO₂ of each country are all negative. This suggests that SO₂ is an inferior good. Brunei, with 8.41%, has the most sensitivity toward change in SO₂ emissions, whereas Myanmar, with only 0.58%, is the least sensitive to SO₂ emissions.

This study aims to observe the long run and short run effects of gross domestic product, foreign direct investment inflows and trade on CO₂ emissions and causality relationships between these factors, using annual data for the period of 1974-2010. The empirical results demonstrate that the inverted U-shaped relationship of environmental Kuznets curve is valid for Turkey. In addition, there are positive long run effects of foreign direct investment and trade openness on CO₂ emissions. The authors also find a bidirectional causality relationship between CO₂ emission and FDI.

Oil prices and economic growth are important indicators to see the success of Indonesia’s development performance. The use of oil as the world’s main energy source in general and Indonesia in particular is driven by industrialization. The more industries, the greater the energy resources needed. In the same context, economic growth will also increase oil demand. The purpose of this study is to examine and create empirical evidence of the relationship between world oil prices and economic growth towards domestic oil prices. Furthermore, to test and create empirical evidence on the relationship of domestic oil prices, agriculture, trade, investment, inflation, interest rates, industry, labor, exchange rates and balance of payments to economic growth. The expected output of this research will be to provide information on the policy of the transmission mechanism of oil prices and economic growth in Indonesia. The method used is descriptive and econometric approach to the analysis of simultaneous equation models with two stages of the least squares method. The results of the study indicate that there is a simultaneous relationship between oil prices and economic growth. Economic growth, world oil prices and domestic oil prices a year ago had a positive effect on domestic oil prices. The second result shows that domestic oil, agriculture, investment, interest rates, industry, exchange rates, balance of payments and economic growth in the previous year have a positive effect on economic growth, while trade, inflation and labor have a negative influence on economic growth.