SpringerLink
Log in

RETRACTED ARTICLE: Do energy use and economic policy uncertainty affect CO2 emissions in China? Empirical evidence from the dynamic ARDL simulation approach

  • Research Article
  • Published:
Environmental Science and Pollution Research Aims and scope Submit manuscript

This article was retracted on 14 March 2024

This article has been updated

Abstract

Global warming is currently the biggest problem. China is the world’s highest CO2 emitter. The Chinese authorities agreed to overcome global pollution per the current Paris treaty and have shown deep concern regarding global warming. Hence, policymakers are paying attention to economic policy uncertainty. Motivated by this issue, the study examines the effect of energy use, economic policy uncertainty, and economic growth on China’s CO2 emissions from 1970 to 2018 by employing a novel dynamic ARDL simulation model. The findings show that energy use and economic growth have statistically substantial long-run and short-run positive effects on CO2 emissions. However, economic policy uncertainty has a statistically insignificant effect on CO2 emissions, due to firms’ sustainability policies. Energy use can have valuable policy consequences, particularly for environmental sustainability. Therefore, based on the empirical findings, the crucial partnership and feedback on China’s carbon emission policy should be carried forward.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Log in via an institution

Subscribe and save

Springer+ Basic
EUR 32.99 /Month
  • Get 10 units per month
  • Download Article/Chapter or Ebook
  • 1 Unit = 1 Article or 1 Chapter
  • Cancel anytime
Subscribe now

Buy Now

Price includes VAT (Brazil)

Instant access to the full article PDF.

Institutional subscriptions

Fig. 1
Fig. 2
Fig. 3
Fig. 4

Similar content being viewed by others

Change history

References

  • Abbasi K, Jiao Z, Khan A, Shahbaz M (2020) Asymmetric impact of renewable and non-renewable energy on economic growth in Pakistan : new evidence from a nonlinear analysis. Energy Explor Exploit 0:1–22

  • Abbasi K, Lv K, Nadeem MA et al (2020a) Agricultural and manufacturing sector determinants consumption , price , and real GDP from Pakistan of electricity. North Am Acad Res 3:21–44

    Google Scholar 

  • Abbasi KR, Hussain K, Abbas J et al (2020b) Analyzing the role of industrial sector’s electricity consumption, prices, and GDP: a modified empirical evidence from Pakistan. Aims Energy 9:21–49

    Google Scholar 

  • Adams S, Adedoyin F, Olaniran E, Victor F (2020) Energy consumption , economic policy uncertainty and carbon emissions ; causality evidence from resource rich economies. Econ Anal Policy 68:179–190

    Article  Google Scholar 

  • Adedoyin FF, Bekun FV (2020) Modelling the interaction between tourism, energy consumption, pollutant emissions and urbanization: renewed evidence from panel VAR. Environ Sci Pollut Res

  • Adedoyin FF, Gumede MI, Bekun FV, et al (2019) Modelling coal rent, economic growth and CO2 emissions: does regulatory quality matter in BRICS economies? Sci Total Environ 136284

  • Adedoyin F, Abubakar I, Bekun FV, Sarkodie SA (2020a) Generation of energy and environmental-economic growth consequences: is there any difference across transition economies? Energy Rep 6:1418–1427

    Article  Google Scholar 

  • Adedoyin FF, Alola AA, Bekun FV (2020b) An assessment of environmental sustainability corridor: the role of economic expansion and research and development in EU countries. Sci Total Environ 713:136726

    Article  ADS  CAS  PubMed  Google Scholar 

  • Adedoyin FF, Bekun FV, Alola AA (2020c) Growth impact of transition from non-renewable to renewable energy in the EU: the role of research and development expenditure. Renew Energy 159:1139–1145

    Article  Google Scholar 

  • Adedoyin FF, Gumede MI, Bekun FV, Etokakpan MU, Balsalobre-lorente D (2020d) Modelling coal rent, economic growth and CO2 emissions: does regulatory quality matter in BRICS economies? Sci Total Environ 710:136284

    Article  ADS  CAS  PubMed  Google Scholar 

  • Ahmad N, Du L, Liang X, Jianlin T (2018) Chinese growth and dilemmas : modelling energy consumption , − CO 2 emissions and growth in China. Qual Quant

  • Al-Mulali U, Solarin SA, Ozturk I (2016) Investigating the presence of the environmental Kuznets curve (EKC) hypothesis in Kenya: an autoregressive distributed lag (ARDL) approach. Nat Hazards 80:1729–1747

    Article  Google Scholar 

  • Al-Thaqeb SA, Algharabali BG (2019) Economic policy uncertainty: a literature review. J Econ Asymmetries 20:e00133

    Article  Google Scholar 

  • Ãng JBA (2007) CO2 emissions , energy consumption , and output in France. Energy Po 35:4772–4778

    Article  Google Scholar 

  • Apergis N, Payne JE (2012) Renewable and non-renewable energy consumption-growth nexus: evidence from a panel error correction model. Energy Econ 34:733–738. https://doi.org/10.1016/j.eneco.2011.04.007

    Article  Google Scholar 

  • Badshah I, Demirer R, Suleman MT (2019) The effect of economic policy uncertainty on stock-commodity correlations and its implications on optimal hedging. Energy Econ 84:1–24

    Article  Google Scholar 

  • Bölük G, Mert M (2015) The renewable energy, growth and environmental Kuznets curve in Turkey: an ARDL approach. Renew Sust Energ Rev 52:587–595

    Article  Google Scholar 

  • CEIC (2019) China oil consumption [1965–2020]. In: CEIC. https://www.ceicdata.com/en/indicator/china/oil-consumption. Accessed 19 Aug 2020

  • Chen X, Chiang TC (2020) Empirical investigation of changes in policy uncertainty on stock returns—evidence from China’s market. Res Int Bus Financ 53:101183

    Article  Google Scholar 

  • Chen L, Du Z, Hu Z (2019a) Impact of economic policy uncertainty on exchange rate volatility of China. Financ Res Lett 32:1–5

    ADS  Google Scholar 

  • Chen Y, Wang Z, Zhong Z (2019b) CO2 emissions, economic growth, renewable and non-renewable energy production and foreign trade in China. Renew Energy 131:208–216

    Article  Google Scholar 

  • Davis BSJ, Liu D, Sheng XS (2019) Economic policy uncertainty in China since 1949 : the view from mainland newspapers. Work Pap 1–35

  • Destek MA, Ulucak R, Dogan E (2018) Analyzing the environmental Kuznets curve for the EU countries: the role of ecological footprint. Environ Sci Pollut Res 25:29387–29396

    Article  Google Scholar 

  • Dickey DA, Fuller WA (1979) Distribution of the estimators for autoregressive time series with a unit root. J Am Stat Assoc 74:427–431

    MathSciNet  Google Scholar 

  • Dong K, Sun R, Jiang H, Zeng X (2018) CO2 emissions, economic growth, and the environmental Kuznets curve in China: what roles can nuclear energy and renewable energy play? J Clean Prod 196:51–63

    Article  Google Scholar 

  • EIA (2018) Energy information administration. In: Energy Inf. Adm. https://www.eia.gov/. Accessed 3 Dec 2019

  • EPU (2018) Economic policy uncertainty index. In: Econ. Policy Uncertain. http://policyuncertainty.com/china_monthly.html. Accessed 15 Aug 2020

  • Erbas BC, Ozbu FC (2015) How effective are energy ef fi ciency and renewable energy in curbing CO 2 emissions in the long run ? A heterogeneous panel data analysis. ENERGY 82:734–745

    Article  Google Scholar 

  • Etokakpan MU, Adedoyin FF, Vedat Y, Bekun FV (2020) Does globalization in Turkey induce increased energy consumption : insights into its environmental pros and cons. Environ Sci Pollut Res

  • Festus Fatai Adedoyin AZ (2020) Energy consumption, economic expansion, and CO2 emission in the UK: the role of economic policy uncertainty. Sci Total Environ 107303

  • Gupta R, Sun X (2019) Forecasting economic policy uncertainty of BRIC countries using Bayesian VARs. Econ Lett 108677

  • Haug AA (2002) Temporal aggregation and the power of cointegration tests: a Monte Carlo study. Oxf Bull Econ Stat 64:399–412

    Article  Google Scholar 

  • Huang Y, Luk P (2020) Measuring economic policy uncertainty in China. China Econ Rev 59:1–28

    Article  Google Scholar 

  • Jiang J, Rui Z, Hazlett R, Lu J (2019a) An integrated technical-economic model for evaluating CO2 enhanced oil recovery development. Appl Energy 247:190–211

    Article  ADS  CAS  Google Scholar 

  • Jiang Y, Zhu Z, Tian G, Nie H (2019b) Determinants of within and cross-country economic policy uncertainty spillovers: Evidence from US and China. Financ Res Lett 31:195–206

    Article  CAS  Google Scholar 

  • Jordan S, Philips AQ (2018) Cointegration testing and dynamic simulations of autoregressive distributed lag models. Stata J 18:902–923

    Article  Google Scholar 

  • Kannadhasan M, Das D (2020) Do Asian emerging stock markets react to international economic policy uncertainty and geopolitical risk alike? A quantile regression approach. Financ Res Lett 34:1–7

    Article  Google Scholar 

  • Khan MK, Teng JZ, Khan MI (2019) Effect of energy consumption and economic growth on carbon dioxide emissions in Pakistan with dynamic ARDL simulations approach. Environ Sci Pollut Res 26:23480–23490

    Article  Google Scholar 

  • Kirikkaleli D, Adedoyin FF, Bekun FV (2020) Nuclear energy consumption and economic growth in the UK : evidence from wavelet coherence approach. J Public Aff 1–11

  • Kripfganz S, Schneider DC (2018) Discussion papers series response surface regressions for critical value bounds and approximate p-values in equilibrium correction models. Econ Dep Discuss Pap Ser

  • Kwiatkowski D, Phillips PCB, Schmidt P, Shin Y (1992) Testing the null hypothesis of stationarity against the alternative of a unit root. How sure are we that economic time series have a unit root? J Econom 54:159–178

    Article  Google Scholar 

  • Lau LS, Choong CK, Ng CF, Liew FM, Ching SL (2019) Is nuclear energy clean? Revisit of environmental Kuznets curve hypothesis in OECD countries. Econ Model 77:12–20

    Article  Google Scholar 

  • Lera-López F, Marco R (2018) Sports participation, physical activity, and health in the European regions. J Sports Sci 36:1784–1791

    Article  PubMed  Google Scholar 

  • Lin B, Xu B (2020) How does fossil energy abundance affect China’s economic growth and CO2 emissions? Sci Total Environ 719:137503

    Article  ADS  CAS  PubMed  Google Scholar 

  • Liu G, Zhang C (2019) Economic policy uncertainty and firms’ investment and financing decisions in China. China Econ Rev

  • Ozcan B, Tzeremes PG, Tzeremes NG (2019) Energy consumption , economic growth and environmental degradation in OECD countries. Econ Model

  • Pao HT, Tsai CM (2010) CO2 emissions, energy consumption and economic growth in BRIC countries. Energy Policy 38:7850–7860

    Article  Google Scholar 

  • Pesaran MH, Pesaran MH, Shin Y, Smith RP (1999) Pooled mean group estimation of dynamic heterogeneous panels. J Am Stat Assoc 94:621–634

    Article  MathSciNet  Google Scholar 

  • Pesaran MH, Shin Y, Smith RJ (2001) Bounds testing approaches to the analysis of level relationships. J Appl Econ 16:289–326

    Article  Google Scholar 

  • Phillips PCB, Perron P (1988) Testing for a unit root in time series regression. Biometrika 75:335–346

    Article  MathSciNet  Google Scholar 

  • Pirgaip B, Dinçergök B (2020) Economic policy uncertainty , energy consumption and carbon emissions in G7 countries : evidence from a panel Granger causality analysis. Environ Sci Pollut Res

  • Saidi K, Ben Mbarek M (2016) Nuclear energy, renewable energy, CO2 emissions, and economic growth for nine developed countries: evidence from panel granger causality tests. Prog Nucl Energy 88:364–374

    Article  CAS  Google Scholar 

  • Sarkodie SA, Strezov V, Weldekidan H, Asamoah EF, Owusu PA, Doyi INY (2019) Environmental sustainability assessment using dynamic autoregressive-distributed lag simulations—Nexus between greenhouse gas emissions, biomass energy, food and economic growth. Sci Total Environ 668:318–332

    Article  ADS  CAS  PubMed  Google Scholar 

  • Udi J, Bekun FV, Adedoyin FF (2020) Modeling the nexus between coal consumption, FDI inflow and economic expansion: does industrialization matter in South Africa? Environ Sci Pollut Res

  • Ulucak R (2020) Linking biomass energy and CO2 emissions in China using dynamic autoregressive- distributed lag simulations. J Clean Prod 119533

  • Victor F, Asumadu S (2019) Another look at the relationship between energy consumption , carbon dioxide emissions , and economic growth in South Africa. Sci Total Environ 655:759–765

    Article  Google Scholar 

  • Victor F, Adewale A, Asumadu S (2019) Toward a sustainable environment : nexus between CO2 emissions , resource rent , renewable and nonrenewable energy in 16-EU countries. Sci Total Environ 657:1023–1029

    Article  Google Scholar 

  • Wang S, Li Q, Fang C, Zhou C (2016) Science of the Total Environment The relationship between economic growth , energy consumption , and CO 2 emissions : empirical evidence from China. Sci Total Environ 542:360–371

    Article  ADS  CAS  PubMed  Google Scholar 

  • Wang Z, Huang W, Chen Z (2019) The peak of CO2 emissions in China: a new approach using survival models. Energy Econ 81:1099–1108

    Article  Google Scholar 

  • WDI (2018) The World Bank. https://www.worldbank.org/. Accessed 1 Dec 2019

  • Wei Y (2019) Oil price shocks, economic policy uncertainty and China’s trade: a quantitative structural analysis. North Am J Econ Financ 48:20–31

    Article  Google Scholar 

  • World-Bank (2020) energy demand and supply in china. World bank 3–9

  • **a T, Yao CX, Geng JB (2020) Dynamic and frequency-domain spillover among economic policy uncertainty, stock and housing markets in China. Int Rev Financ Anal 67:101427

    Article  Google Scholar 

  • Xu F, **ang N, Yan J, Chen L, Nijkamp P, Higano Y (2015) Dynamic simulation of China’s carbon emission reduction potential by 2020. Lett Spat Resour Sci 8:15–27

    Article  Google Scholar 

  • Yang L (2019) Connectedness of economic policy uncertainty and oil price shocks in a time domain perspective. Energy Econ 80:219–233

    Article  ADS  Google Scholar 

  • You W, Guo Y, Zhu H, Tang Y (2017) Oil price shocks, economic policy uncertainty and industry stock returns in China: asymmetric effects with quantile regression. Energy Econ 68:1–18

    Article  Google Scholar 

Download references

Availability of data and materials

The data is accessible from the corresponding author upon request.

Author information

Authors and Affiliations

  1. School of Economics, Shanghai University, No. 99, Shangda Road, Baoshan Campus, Baoshan District, Shanghai, China

    Kashif Raza Abbasi

  2. Department of Accounting, Finance, and Economics, Bournemouth University, Poole, UK

    Festus Fatai Adedoyin

Authors
  1. Kashif Raza Abbasi
    View author publications

    You can also search for this author in PubMed Google Scholar

  2. Festus Fatai Adedoyin
    View author publications

    You can also search for this author in PubMed Google Scholar

Contributions

K. R. A. (Abbasi) has contributed to idea conceptualization of the study, design, analysis, and conclusion. Reviewed edited manuscript and approved the final submission.

F.F.A. (Adedoyin) conceptualizes the study, design, literature search, and conclusion. Reviewed the edited manuscript and approved submission.

Corresponding author

Correspondence to Kashif Raza Abbasi.

Ethics declarations

Competing interests

The authors declare that there are no competing interests.

Ethical approval

The study obtained ethical approval from Shanghai University, School of Economics, Baoshan Campus, Shanghai, China.

Consent to participate

Not applicable.

Consent to publish

The authors have provided consent to publish this work is accepted.

Additional information

Responsible Editor: Roula Inglesi-Lotz

Publisher’s note

Springer Nature remains neutral with regard to jurisdictional claims in published maps and institutional affiliations.

This article has been retracted. Please see the retraction notice for more detail:https://doi.org/10.1007/s11356-024-32887-w

Rights and permissions

Springer Nature or its licensor (e.g. a society or other partner) holds exclusive rights to this article under a publishing agreement with the author(s) or other rightsholder(s); author self-archiving of the accepted manuscript version of this article is solely governed by the terms of such publishing agreement and applicable law.

About this article

Check for updates. Verify currency and authenticity via CrossMark

Cite this article

Abbasi, K.R., Adedoyin, F.F. RETRACTED ARTICLE: Do energy use and economic policy uncertainty affect CO2 emissions in China? Empirical evidence from the dynamic ARDL simulation approach. Environ Sci Pollut Res 28, 23323–23335 (2021). https://doi.org/10.1007/s11356-020-12217-6

Download citation

  • Received:

  • Accepted:

  • Published:

  • Issue Date:

  • DOI: https://doi.org/10.1007/s11356-020-12217-6

Keywords

Search

Navigation