CO2 emissions and income trajectory in Australia: the role of multifactor productivity

Shahiduzzaman, Md. and Alam, Khorshed (2010) CO2 emissions and income trajectory in Australia: the role of multifactor productivity. In: 39th Australian Conference of Economists (ACE 2010), 27-29 Sep 2010, Sydney, Australia.


This study investigates the relationship between carbon emissions and income in Australia, while controlling for multifactor productivity and export of black coal. Although technological progress seems to play a critical role in achieving long term goals of carbon reduction and economic
growth, empirical studies in this line of research often include linear or non-linear time-trend as a crude measure of technological progress. The use of multifactor productivity as a measure of technological state, therefore, overcomes the limitations and provides practical policy directions. This study uses the Autoregressive Distributed Lag Model (ARDL), recently developed bound-testing approach and a reasonably large sample size to investigate the cointegration relationship. Empirical
findings in the study show evidence of the existence of Environmental Kuznets Curve type relationship for carbon emissions in the Australian context. The technology as measured by multifactor productivity, however, is not found as an influencing variable in emissions-income trajectory.

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Item Type: Conference or Workshop Item (Commonwealth Reporting Category E) (Paper)
Refereed: Yes
Item Status: Live Archive
Additional Information: Paper not displayed at authors' request.
Faculty / Department / School: Historic - Faculty of Business - School of Accounting, Economics and Finance
Date Deposited: 09 Jan 2011 08:12
Last Modified: 11 Sep 2014 02:21
Uncontrolled Keywords: carbon emissions; multifactor productivity; income; cointegration
Fields of Research : 14 Economics > 1402 Applied Economics > 140205 Environment and Resource Economics
14 Economics > 1402 Applied Economics > 140202 Economic Development and Growth
14 Economics > 1403 Econometrics > 140304 Panel Data Analysis
Socio-Economic Objective: D Environment > 96 Environment > 9603 Climate and Climate Change > 960302 Climate Change Mitigation Strategies
B Economic Development > 91 Economic Framework > 9101 Macroeconomics > 910199 Macroeconomics not elsewhere classified
B Economic Development > 91 Economic Framework > 9199 Other Economic Framework > 919901 Carbon and Emissions Trading

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