Gasoline Consumption, CO2 Emissions and Transportation Infrastructure Investment: Transportation Kuznets Curve in Selected Developing Countries

Year 2019, Volume: 6 Issue: 2, 247 - 258, 10.07.2019

Mehmet Aldonat Beyzatlar , İstemi Berk

https://doi.org/10.17541/optimum.495825

Abstract

This study
examines the links between gasoline consumption, CO2 emissions and
transportation infrastructure investment using an autoregressive distributed
lag model based on the pooled mean group estimation (ARDL-PMG) for a panel
consisting of selected upper middle-income countries for the period between
1994 and 2014. The long-run PMG estimates show that transportation
infrastructure investment increases both gasoline consumption and CO2
emissions, while its quadratic form (squared of transportation infrastructure
investment) has negative effect. Hence, these results overall imply the
existence of transportation Kuznets curve for upper middle-income countries.

Keywords

Panel ARDL, Transportation Infrastructure Investment, Gasoline Consumption, CO2 Emissions, Transportation Kuznets Curve

Benzin Tüketimi, CO2 Emisyonu ve Ulaşım Altyapı Yatırımları: Seçilmiş Gelişmekte olan Ülkelerde Ulaşım Kuznets Eğrisi

Abstract

Bu çalışma, 1994 ve 2014 döneminde
aralarında seçilmiş üst orta-gelir seviyesindeki ülkelerden oluşan panel için toplulaştırılmış
ortalama grup tahminlemesine dayalı gecikmesi dağıtılmış otoregresif modeli (ARDL-PMG)
kullanılarak benzin tüketimi, CO₂ emisyonu ve ulaşım altyapı yatırımları
arasındaki bağlantıyı incelemektedir. Uzun dönemli PMG tahminleri, ulaşım
altyapısı yatırımının hem benzin tüketimini hem de CO₂ emisyonunu
artırdığını (pozitif), ikinci dereceden formunun ise (ulaşım altyapısı
yatırımının karesi) azaltıcı (negatif) etki yaptığını göstermektedir. Bu
nedenle, sonuçlar genel olarak üst orta-gelirli ülkeler için ulaşım Kuznets
eğrisinin varlığını göstermektedir.

Keywords

Ulaşım Altyapı Yatırımları, Benzin Tüketimi, CO2 Emisyonu, Ulaşım Kuznets Eğrisi, Panel ARDL

References

• Abdallah, K. B., Belloumi, M., & De Wolf, D. (2013). Indicators for sustainable energy development: A multivariate cointegration and causality analysis from Tunisian road transport sector. Renewable and Sustainable Energy Reviews, 25, 34-43.
• Acaravci, A., & Ozturk, I. (2010). On the relationship between energy consumption, CO2 emissions and economic growth in Europe. Energy, 35(12), 5412-5420.
• Achour, H., & Belloumi, M. (2016). Investigating the causal relationship between transport infrastructure, transport energy consumption and economic growth in Tunisia. Renewable and Sustainable Energy Reviews, 56, 988-998.
• Anable, J., Brand, C., Tran, M., & Eyre, N. (2012). Modelling transport energy demand: A socio-technical approach. Energy policy, 41, 125-138.
• Arouri, M. E. H., Youssef, A. B., M'henni, H., & Rault, C. (2012). Energy consumption, economic growth and CO2 emissions in Middle East and North African countries. Energy policy, 45, 342-349.
• Arvin, M. B., Pradhan, R. P., & Norman, N. R. (2015). Transportation intensity, urbanization, economic growth, and CO2 emissions in the G-20 countries. Utilities Policy, 35, 50-66.
• Badalyan, G., Herzfeld, T., & Rajcaniova, M. (2014). Transport Infrastructure and Economic Growth: Panel Data Approach for Armenia, Georgia and Turkey. Review of Agricultural and Applied Economics, 17(2).
• Banerjee, A., Duflo, E., & Qian, N. (2012). On the road: Access to transportation infrastructure and economic growth in China (No. w17897). National Bureau of Economic Research.
• Bauer, M., Mar, E., & Elizalde, A. (2003). Transport and Energy Demand in Mexico: The Personal Income Shock. Energy Policy, 31, 1475-1480.
• Farhani, S., & Ozturk, I. (2015). Causal relationship between CO2 emissions, real GDP, energy consumption, financial development, trade openness, and urbanization in Tunisia. Environmental Science and Pollution Research, 22(20), 15663-15676.
• Fedderke, J. W., & Bogetic, Z. (2006). Infrastructure and growth in South Africa: Direct and indirect productivity impacts of 19 infrastructure measures. The World Bank.
• Grossman, G. M., & Krueger, A. B. (1991). Environmental impacts of a North American free trade agreement (No. w3914). National Bureau of Economic Research.
• Haldenbilen, S., & Ceylan, H. (2005). Genetic algorithm approach to estimate transport energy demand in Turkey. Energy policy, 33(1), 89-98.
• Holtz-Eakin, D., & Selden, T. M. (1995). Stoking the fires? CO2 emissions and economic growth. Journal of public economics, 57(1), 85-101.
• Khasnabis, S., Dhingra, S. L., Mishra, S., & Safi, C. (2010). Mechanisms for transportation infrastructure investment in developing countries. Journal of Urban Planning and Development, 136(1), 94-103.
• Kraft, J., & Kraft, A. (1978). On the relationship between energy and GNP. The Journal of Energy and Development, 401-403.
• Liddle, B. (2009). Long-run relationship among transport demand, income, and gasoline price for the US. Transportation Research Part D: Transport and Environment, 14(2), 73-82.
• Maparu, T. S., & Mazumder, T. N. (2017). Transport infrastructure, economic development and urbanization in India (1990–2011): Is there any causal relationship?. Transportation Research Part A: Policy and Practice, 100, 319-336.
• Meng, X., & Han, J. (2018). Roads, economy, population density, and CO2: A city-scaled causality analysis. Resources, Conservation and Recycling, 128, 508-515.
• Murat, Y. S., & Ceylan, H. (2006). Use of artificial neural networks for transport energy demand modeling. Energy policy, 34(17), 3165-3172.
• Ozturk, I. (2010). A literature survey on energy–growth nexus. Energy policy, 38(1), 340-349.
• Pao, H. T., & Tsai, C. M. (2010). CO2 emissions, energy consumption and economic growth in BRIC countries. Energy policy, 38(12), 7850-7860.
• Pedroni, P. (1999). Critical values for cointegration tests in heterogeneous panels with multiple regressors. Oxford Bulletin of Economics and statistics, 61(S1), 653-670.
• Persyn, D., & Westerlund, J. (2008). Error-correction-based cointegration tests for panel data. Stata Journal, 8(2), 232-241.
• Pesaran, M. H., Shin, Y., & Smith, R. P. (1997). Estimating Long-run Relationships in Dynamic Heterogeneous Panels, DAE Working Papers Amalgamated Series 9721.
• Pesaran, M. H., Shin, Y., & Smith, R. P. (1999). Pooled mean group estimation of dynamic heterogeneous panels. Journal of the American Statistical Association, 94(446), 621-634.
• Pietzcker, R. C., Longden, T., Chen, W., Fu, S., Kriegler, E., Kyle, P., & Luderer, G. (2014). Long-term transport energy demand and climate policy: alternative visions on transport decarbonization in energy-economy models. Energy, 64, 95-108.
• Poudenx, P. (2008). The effect of transportation policies on energy consumption and greenhouse gas emission from urban passenger transportation. Transportation Research Part A: Policy and Practice, 42(6), 901-909.
• Pradhan, R. P. (2010). Transport infrastructure, energy consumption and economic growth triangle in India: Cointegration and causality analysis. Journal of Sustainable Development, 3(2), 167.
• Pradhan, R. P., & Bagchi, T. P. (2013). Effect of transportation infrastructure on economic growth in India: the VECM approach. Research in Transportation Economics, 38(1), 139-148.
• Saidi, S., Shahbaz, M., & Akhtar, P. (2018). The long-run relationships between transport energy consumption, transport infrastructure, and economic growth in MENA countries. Transportation Research Part A: Policy and Practice, 111, 78-95.
• Samimi, R. (1995). Road Transport Energy Demand in Australia: A Cointegration Approach. Energy Economics, 17, 329-339.
• UN, United Nations (2015). Transforming our world: The 2030 agenda for sustainable development. A/RES/70/1, 21 October, 2015.
• Westerlund, J. (2007). Testing for error correction in panel data. Oxford Bulletin of Economics and statistics, 69(6), 709-748.
• Wohlgemuth, N. (1997). World transport energy demand modelling: methodology and elasticities. Energy Policy, 25(14-15), 1109-1119.
• World Bank (1994). World Development Report 1994: Infrastructure for Development. Oxford, U.K., Oxford University.