Sectoral Analysis Of Carbon Emissions And Economic Factors: Dinamis Model

Firsty Ramadhona Amalia Lubis, Suharno Suharno, Arintoko Arintoko

Abstract


A real challenge in the 21st century is climate change, which is the high concentration of greenhouse gases in the earth's atmosphere caused by increased global temperatures leading to warming. The first research conducted with the EKC hypothesis was conducted by Grosman & Krueger in 1991, which supported the EKC claim that environmental degradation and economic growth are interrelated. The study aimed to examine the influence of GDP variables, renewable energy consumption, forest area, and population on greenhouse gas emissions. The variables used consist of GDP, renewable energy consumption, forest area, and people with the independent variable of greenhouse gas emissions in 6 ASEAN countries. This study uses the Generalized Method of Moments panel model. The results show that the EKC hypothesis is not proven because GDP has no significant effect on emissions, renewable energy consumption has a significant effect on emissions, forest land area has no significant effect on emissions, and population has a significant positive effect on emissions in ASEAN countries.

Keywords: EKC, emissions, renewable energy consumption, population


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