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Determinants of agricultural emissions: panel data evidence from a global sample

Published online by Cambridge University Press:  01 September 2020

Canh Phuc Nguyen
Affiliation:
University of Economics Ho Chi Minh City, 59C Nguyen Dinh Chieu Street, District 3, Ho Chi Minh City, Vietnam
Thai-Ha Le*
Affiliation:
Fulbright School of Public Policy and Management, Fulbright University Vietnam, Ho Chi Minh City, Vietnam Mekong Development Research Institute, Hanoi, Vietnam IPAG Business School, Paris, France
Christophe Schinckus
Affiliation:
Taylor's University, Selangor Darul Ehsan, Malaysia
Thanh Dinh Su
Affiliation:
University of Economics Ho Chi Minh City, 59C Nguyen Dinh Chieu Street, District 3, Ho Chi Minh City, Vietnam
*
*Corresponding author. E-mail: ha.le@fulbright.edu.vn

Abstract

Using the panel data of 89 economies from 1995–2012, this study examines the major drivers of agricultural emissions while considering affluence, energy intensity, agriculture value added and economic integration. We find long-run cointegration among the variables. Furthermore, our empirical results based on a dynamic fixed effects autoregressive distributed lag model show that the increases in income and economic integration – proxied by trade and foreign direct investment (FDI) – are the major contributors to higher greenhouse gas (GHG) emissions from agriculture in the short run. Additionally, the increases in income, agriculture value added and energy consumption are the major drivers of agricultural emissions in the long run. Notably, trade openness and FDI inflows have significantly negative effects on GHG emissions from agriculture in the long run. These results apply to methane and nitrous oxide emissions. The empirical findings vary across three subsamples of countries at different development stages.

Type
Research Article
Copyright
Copyright © The Author(s), 2020. Published by Cambridge University Press

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