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Environmental Innovation and CO2 Emissions in Asian Countries

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Environmental Technology Innovation and ESG Investment

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Abstract

This study analyzes the relationship between environmental innovation and carbon dioxide emissions in 26 Asian countries from 1990 to 2019, using a two-way error component model. Specifically, the Asian countries are classified into high- and middle-income countries based on income levels, and into high- and low-effectiveness countries based on the index of government effectiveness. The results indicate that environmental innovation reduces CO2 emissions. In particular, environmental innovation in high-income countries is more effective in reducing CO2 emissions than in middle-income countries. Additionally, environmental innovation in countries with low effectiveness does not impact CO2 emissions reduction, whereas environmental innovation in countries with high effectiveness does. As environmental innovation is confirmed to have a positive impact on reducing CO2 emissions, countries should strive to support environmental innovation to achieve environmental improvement.

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Authors and Affiliations

  1. Department of Food and Resource Economics, Korea University, 145 Anam-Ro, Seongbuk-Gu, Seoul, 02841, Korea

    Somin Lee

  2. Department of Food and Resource Economics, Korea University and President, Korea Rural Economic Institute, 601 Bitgaram-Ro, Naju-Si, Jeollanamdo, 58321, Korea

    Doo Bong Han

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  1. Somin Lee
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  2. Doo Bong Han
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Correspondence to Doo Bong Han .

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Editors and Affiliations

  1. Faculty of Business Administration, Seikei University, Musashino, Tokyo, Japan

    Sumiko Takaoka

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Lee, S., Han, D.B. (2024). Environmental Innovation and CO2 Emissions in Asian Countries. In: Takaoka, S. (eds) Environmental Technology Innovation and ESG Investment. Springer, Singapore. https://doi.org/10.1007/978-981-99-9768-8_5

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