TITLE:
The Effect of Economic Growth on Carbon Dioxide Emissions in Sub-Saharan Africa: Decomposition into Scale, Composition and Technique Effects
AUTHORS:
Hilaire Nkengfack, Hervé Kaffo Fotio, Serge Temkeng Djoudji
KEYWORDS:
Carbon Emissions, Economic Growth, Scale Effect, Composition Effect, Technique Effect
JOURNAL NAME:
Modern Economy,
Vol.10 No.5,
May
24,
2019
ABSTRACT: The objective of this paper is to decompose the
effects of economic growth on carbon emissions into scale, composition and
technique effects in a panel of 23 Sub-Saharan African countries between 1996
and 2014. We combine static and dynamic panel estimation technique to quantile
regression technique in order to bring out a detailed description of the
relationship between carbon emissions and its determinants at different levels
of carbon dioxide emissions. The results from static and dynamic estimations
reveal that the expansion in the scale and the composition of the economy
increase carbon emissions, while improvements in the technology are sufficient
to reduce carbon emissions. However, quantile regressions indicate that these
three effects are heterogeneously distributed across the dioxide carbon emission levels, and the scale effect holds
only at the lower quantiles. The results also indicate that financial
development, the size of population and the exports (as a percentage of GDP)
have a positive effect on carbon emission, while imports (as a percentage of
Gross Domestic Product) reduce it.