Urbanization and carbon emissions: a panel threshold analysis
2021
Khan, Khalid | Su, Chi-Wei
This study analyzes whether an optimal level of urbanization (UB) exists at which the newly industrialized countries (NIC) can reduce carbon dioxide emissions (CE). The results suggest that UB has a positive effect when it is lower than the threshold value. Whereas UB has a negative effect on CE when it is above the threshold value, identify an optimal level in the NIC countries for CE. Moreover, industrialization, economic growth, and energy consumption have a positive significant impact on CE while renewable energy has a negative effect. The study is useful for policymakers to realize optimal UB level to reduce CE. Moreover, the balanced developmental approach for the rural-urban areas and encouragement of internal migration to small cities will minimize the flow of migration to metropolitan cities. Sustainable economic development required continuous energy supply; thus, the event of low carbon energy is extremely vital. The development of low carbon energy is very important and policymakers should improve the structure of energy consumption.
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