The Impact of Agriculture on CO2 Emissions in China

Authors

  • Nezahat Doğan Final International University, Department of International Finance, Turkey

DOI:

https://doi.org/10.2298/PAN160504030D

Keywords:

Agriculture, CO2 emissions, Cointegration, China

Abstract

This study empirically analyses the long-term relationship between agricultural production and carbon dioxide emissions in China by using annual data covering 1971-2010. In estimating the relationship between agriculture and CO2 emissions, the study also includes real income and energy consumption as variables in the model, in line with the EKC hypothesis. To identify the existence of a long-term relationship between CO2 emissions and agriculture, the bounds test approach for cointegration and autoregressive distributed lag (ARDL) methods are used. To determine the robustness of the results, other single-equation cointegration methods such as FMOLS, DOLS, and CCR are also estimated. The results confirm cointegration among variables and the presence of an inverse U-shaped agriculture-induced EKC curve for China. Agriculture increases a country’s long-term CO2 emissions. The government, policymakers, and agricultural producers should set strategies covering energy-intensive economic activities, including agriculture, to solve environmental problems.

Key words: Agriculture, CO2 emissions, Cointegration, China.
JEL: O13, Q53, O44.

Uticaj poljoprivrede na emisije CO2 u Kini

U radu se empirijski analizira dugoročnu vezu između poljoprivredne proizvodnje i emisije ugljenog dioksida (CO2) u Kini korišćenjem godišnjih podataka koji pokrivaju 1971-2010. U proceni odnosa između poljoprivrede i emisije CO2, istraživanje uključuje realne prihode i potrošnju energije kao varijable u model, u skladu sa hipotezom Kuznetsove krive (EKC). Da bi se utvrdilo postojanje dugoročne veze između emisije CO2 i poljoprivrede, koristi se pristup testiranja granica za metode kointegracije i autoregresivnog modela sa distributivnim vremenskim pomakom (ARDL). Kako bi se odredila robusnost rezultata, procenjuju se i druge metode kointegracije sa jednom jednačinom kao što su potpuno modifikovani najmanji kvadrati (FMOLS), dinamički obični najmanji kvadrati (DOLS) i kanonska kointegraciona regresija (CCR). Rezultati potvrđuju kointegracionu vezu između varijabli i prisutnost inverzne U-krive EKC za Kinu indukovane poljoprivredom. Poljoprivreda povećava dugoročnu emisiju CO2 u zemlji. Vlada, kreatori politike i poljoprivredni proizvođači trebaju postaviti strategije koje pokrivaju energetski intenzivne ekonomske aktivnosti, uključujući poljoprivredu, za rešavanje ekoloških problema.

Ključne reči: Poljoprivreda, emisija CO2, kointegracija, Kina.

 

Downloads

Download data is not yet available.

Downloads

Published

2018-03-25

How to Cite

Doğan, N. (2018). The Impact of Agriculture on CO2 Emissions in China. Panoeconomicus, 66(2), 257–271. https://doi.org/10.2298/PAN160504030D

Issue

Section

Original scientific paper