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Exploring the nature of EKC hypothesis in Asia’s top emitters: role of human capital, renewable and non-renewable energy consumption

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Abstract

The present study uses both carbon dioxide emission and ecological footprints as proxies for environmental degradation to examine the environmental Kuznets curve hypothesis for the top three emitters from Asia, i.e., China, India, and Japan. To this end, the autoregressive distributed lag model for time series and panel estimation is used for a period spanning over 1980–2016. For carbon dioxide emission, China presents an inverted-U shape of the environmental Kuznets curve, while a U-shape relationship is found for India and Japan. Similarly, when the hypothesis is tested with the ecological footprint, Japan offers an inverted U-shape and U-shaped association is detected for China and India. The panel analysis indicates the existence of the environmental Kuznets curve with both proxies of environmental degradation. Besides, human capital and renewable energy promote environmental sustainability, while non-renewable energy use hinders environmental quality. The findings of this study suggest that in order to meet the combined goals of economic growth and environmental protection, the three economies, i.e., China, India, and Japan, should employ renewable energy–enabled technology.

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Data availability

The present study’s data sources are the World Development Indicators (https://data.worldbank.org/, GFN database 2019, PWT database, version 10.0 and OWID database, 2020). The data specific to the study can be made available upon request. However, they are available and downloadable at the earlier mentioned database and weblink.

Notes

  1. https://www.cn.undp.org/content/dam/china/docs/Publications/2017%20Report%20on%20the%20Sustainable%20Development%20of%20Chinese%20Enterprises%20Overseas.pdf

  2. https://www.oecd.org/development/pgd/International_Survey_Data_DevCom_June%202017.pdf

  3. Glocalities: Towards 2030 Without Poverty (2016); 56,000 respondents in 24 countries. (Fieldwork: 12/2015–2/2016.

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Authors and Affiliations

  1. School of Economics, Shri Mata Vaishno Devi University, Katra, Jammu and Kashmir, India

    Pabitra Kumar Jena & Aqib Mujtaba

  2. School of Economics, Gangadhar Meher University, Sambalpur, 768004, Odisha, India

    Debanam Priyam Priyadarshi Joshi

  3. Faculty of Economics, Administrative and Social Sciences, Hasan Kalyoncu University, Gaziantep, Türkiye

    Elma Satrovic

  4. Department of Economics and Development Studies, Covenant University, Ota, Nigeria

    Bosede Ngozi Adeleye

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  1. Pabitra Kumar Jena
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  2. Aqib Mujtaba
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  3. Debanam Priyam Priyadarshi Joshi
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  4. Elma Satrovic
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  5. Bosede Ngozi Adeleye
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Contributions

PKJ has done empirical analysis and supervises the work. AM is responsible for the conceptualization, data collection and analysis. DPPJ is responsible for the literature survey and initial stage proofreading. ES contributed to the introduction part; BNA is accountable for the conclusion and policy recommendations.

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Correspondence to Pabitra Kumar Jena.

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The authors declare no competing interests.

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Highlights

1. The study amalgamates both CO2 emission (negative indicator) and ecological footprint (positive indicator) of environmental degradation to investigate the validity of the environmental Kuznets curve hypothesis for the top three Asian emitting economies, namely Japan, China, and India.

2.The environmental Kuznets curve holds for China when CO2 emission represents environmental degradation. Japan confirms the validity of the environmental Kuznets curve hypothesis when ecological footprint depicts environmental degradation. However, the inverted U-shaped environmental Kuznets curve does not operate in India.

3. The panel analysis detects an inverted U-shaped environmental Kuznets curve for both the proxies of the environment for the panel of selected economies.

4. Human capital and renewable energy use promote environmental sustainability, while non-renewable energy is detrimental to the environment.

5.This study suggests China, India, and Japan are undisputable the three largest Asian economies producing high pollutant emissions; it becomes imperative for the three economies to adopt renewable energy–enabled technologies to achieve the dual purpose of economic growth and a clean environment.

6.Finally, this study recommends that combating climate change and ensuring a sustainable environment (SDG13) require de-carbonization measures be pursued to enable a healthy environment that will reduce health impacts due to energy-related air pollution (SDG3) by 2030.

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Jena, P.K., Mujtaba, A., Joshi, D.P.P. et al. Exploring the nature of EKC hypothesis in Asia’s top emitters: role of human capital, renewable and non-renewable energy consumption. Environ Sci Pollut Res 29, 88557–88576 (2022). https://doi.org/10.1007/s11356-022-21551-w

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  • DOI: https://doi.org/10.1007/s11356-022-21551-w

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