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Modeling the dynamic Nexus among coal consumption, pollutant emissions and real income: empirical evidence from South Africa

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Abstract

This study explores the interaction among coal consumption, pollutant emissions, and real income for South Africa in a multivariate setting. To achieve this objective, annual frequency data spanning from 1965 to 2017 is used for analysis. A series of econometrics tests were conducted ranging from stationarity and non-stationarity tests for unit root properties of the variables under consideration. Empirical evidence finds support for the inverted U-shaped pattern between energy consumption and environmental degradation in South Africa. The Toda-Yamamoto Granger causality test shows a feedback causality between economic growth and carbon dioxide emissions, as well as between GDP and coal consumption. All these highlighted findings have inherent environmental implications. Based on these outcomes, policy directions such as diversification of the South Africa energy mix to renewables and cleaner energy sources and also the adoption of carbon capturing and storage techniques were suggested to engender a cleaner and friendlier environment.

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Notes

  1. The data span is selected based on data availability.

  2. This study is also conducted the ARDL Bounds testing for robustness check. The result is consistent with Maki cointegration results. See Appendix for the ARDL Bounds test results.

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Authors and Affiliations

  1. Department of Political Sciences, Roma Tre University, Rome, Italy

    Cosimo Magazzino

  2. Faculty of Economics Administrative and Social Sciences, Istanbul Gelisim University, Istanbul, Turkey

    Festus Victor Bekun

  3. Department of Economics, Faculty of Business and Economics, Eastern Mediterranean University, Famagusta, North Cyprus

    Mfonobong Udom Etokakpan & Gizem Uzuner

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  1. Cosimo Magazzino
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  2. Festus Victor Bekun
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  3. Mfonobong Udom Etokakpan
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  4. Gizem Uzuner
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Correspondence to Cosimo Magazzino.

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Responsible editor: Muhammad Shahbaz

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Table 8 ARDL bound test
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Magazzino, C., Bekun, F.V., Etokakpan, M.U. et al. Modeling the dynamic Nexus among coal consumption, pollutant emissions and real income: empirical evidence from South Africa. Environ Sci Pollut Res 27, 8772–8782 (2020). https://doi.org/10.1007/s11356-019-07345-7

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