An Empirical Investigation between FDI, Tourism, and Trade on CO2 Emissions in Asia: Testing Environmental Kuznet Curve and Pollution Haven Hypothesis

Title : An Empirical Investigation between FDI, Tourism, and Trade on CO2 Emission in Asia: Testing Environmental Kuznet Curve and Pollution Haven Hypothesis

Authors :
1. Rossanto Dwi Handoyo
2. Yessi Rahmawati
3. Omar Guillermo Rojas Altamirano
4. Salsabila Fahar Ahsani
5. Adrianus Kabubu Hudang
6. Tri Haryanto

Department : Economics

Journal Name : International Journal of Energy Economics and Policy

Kinds of Journal : Scopus Q1

Keywords : Carbon Dioxide Emissions, Export, Foreign Direct Investment, Import, Poisson Pseudo-Maximum Likelihood, Tourism

ABSTRACT

This study aims to analyze the influence of foreign direct investment (FDI), tourism, exports, and imports on carbon dioxide (CO2) emissions in the High-Income Country, Upper-Middle Income, and Lower-Middle Income in Asia during the period from 2010-2019. This study uses the Poisson Pseudo-Maximum Likelihood method. The results of this study indicate that the Environmental Kuznets Curve Hypothesis is valid in the country of High Income and Upper-Middle Income. In addition, there is a non-linear relationship between FDI, tourism, exports, and imports on carbon dioxide (CO2) emissions. The interaction variables, which are a FDI with tourism and FDI with Export. Each of them is reducing carbon dioxide emissions only in high-income countries. Meanwhile, the interaction variables between FDI and imports reduce carbon dioxide emissions in high-income countries. However, it increases the carbon dioxide emissions in the upper-middle-income country.

For details : https://www.econjournals.com/index.php/ijeep/article/view/13242